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Corporate Social Responsibility: Distinction or Distraction?

Members of the Toms Shoe team deliver 10,000 pairs at a Buenos Aires soup kitchen in Argentina.
Members of the Toms Shoe team deliver 10,000 pairs at a Buenos Aires soup kitchen in Argentina.Photograph by Ali Burafi/AP Photo

Is it more socially responsible for U.S. businesses to protect American jobs or provide employment for impoverished people in developing countries? To shun genetically modified foods or endorse their role in ameliorating malnutrition? To power their fleets with petroleum or use electricity generated by coal? Making judgments about which position is “right” is a slippery slope, because, like fair trade and social justice, corporate social responsibility is a fuzzy, malleable, eye-of-the-beholder concept.

Do you want your business to become known for its commitment to corporate social responsibility? If so, you’re going to have to be thoughtful in managing trade-offs, balancing short-term and long-term interests, and assessing possible unintended consequences. Differing audiences (or interest groups) will judge the choices you make based on their differing perspectives. Your task is to sort through the issues and determine the best course of action for your organization. That’s where it can get dicey if you don’t keep first things first.