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Corporate responsibility in China

CSR communication in China: a survey of online CSR communication in domestic and foreign companies operating in China

Comparing CSR policies of foreign and domestic firms in China

Authors: ; Sino-German Technical Cooperation, Programme, Environment-Oriented Enterprise Consultancy Zhejiang
Publisher: Environment-oriented Enterprises Consultancy Zhejiang, 2007

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Corporate social responsibility (CSR) is slowly gaining its footing in China, with increasing discussion within the political, business and academic arenas. This report reviews the CSR activities of the 30 largest (by revenue) foreign and 30 largest and best recognised domestic companies operating in China. This web-based review aims to determine levels of CSR activities and gauging their effectiveness in communicating this engagement to stakeholders.

The survey of Chinese domestic companies revealed the following results:

  • 10% of the surveyed companies reported no information related to any of the 12 elements on their English website but did report information about their respective CSR activities on their Chinese websites
  • 70% of the companies indicated that they were actively involved in different levels of philanthropy
  • 26% conducted activities related to Cleaner Production and Eco-Efficiency, Health and Safety, and Environmental Management Systems
  • 23% of the companies’ surveyed reported activity in Community Investment
  • 20% reported Waste and Recycling activities 
  • 13% offered information on having a Code of Conduct
  • 10% reported that they published an annual CSR Report and the existence of Anti-Corruption Policies
  • 7% actively engaged with Stakeholders
  • 3% had HIV/AIDS programmes and indicated the inclusion of a Labour Rights programme
  • only one (or 3%) reported no information relating to any of the 12 CSR elements, while none of the companies provided information on Equality and Diversity.
Research of the foreign multinational companies’ websites revealed the following:

  • 20% of the companies reported no information on their Chinese website concerning the 12 CSR elements
  • 77% were actively engaged in Community Investment
  • 50% reported publishing a CSR Report and were actively engaged in Cleaner Production and Eco-Efficiency
  • 37% included information regarding Health and Safety programmes
  • 33% reported having Environmental Management Systems 
  • 30% reported that they engaged with stakeholders and reported Waste and Recycling operations
  • 20% explicitly stated that they had Codes of Conduct and Labour Rights
  • 10% reported Equality and Diversity Policies and included HIV/AIDS programmes
  • none of the foreign multinationals reported issues related to Anti-Corruption Policies on their respective websites.
The paper concludes that foreign multinationals are both more actively engaged in CSR activities in China than their Chinese counterparts and more effective at communicating their respective CSR activities. However, it is also noteworthy that Chinese companies do in fact communicate their engagement (often in English and Chinese) on various CSR-relevant issues, and in particular on community investment and philanthropy.