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Corporate social responsibility, economic globalization and developing countries: A case study of the ready made garments industry in Bangladesh

Mohammed Ziaul Haque (Department of Management, Monash University, Melbourne, Australia)
Fara Azmat (School of Management and Marketing, Deakin University, Melbourne, Australia)

Sustainability Accounting, Management and Policy Journal

ISSN: 2040-8021

Article publication date: 5 May 2015

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Abstract

Purpose

This paper aims to examine the state of corporate social responsibility (CSR) in labour-intensive industries in developing countries in the context of economic globalization. Using the ready-made garments’ (RMG) industry in Bangladesh as a case study, challenges and key issues relating to CSR are highlighted.

Design/methodology/approach

The paper draws from the review of existing literature, and the content analysis of two leading newspapers in Bangladesh for a period of one year (July 2012-June 2013) to identify the key and contemporary issues related to CSR in the RMG industry.

Findings

Findings identify the contemporary issues of concerns associated with CSR in the RMG industry, relating them to the debate on the applicability of Carroll’s CSR pyramid to developing countries. The findings suggest that non-compliance of CSR in labour-intensive industries is a function of the nature of economic globalization. The need for a stakeholder approach towards CSR for the profitability and sustainability of this industry is also highlighted.

Practical implications

This paper makes contributions to two different but important interrelated discourses on CSR and economic globalization. It also provides insights into the complexity involved in CSR in labour-based export industries in developing countries and acts as a springboard for further research.

Originality/value

The paper is the first to look at all major issues of concern regarding CSR in the RMG industry in Bangladesh. As Bangladesh is an exemplar of developing countries and RMG is a typical starter industry, the findings are generalizable to similar industries in other developing countries.

Keywords

Citation

Haque, M.Z. and Azmat, F. (2015), "Corporate social responsibility, economic globalization and developing countries: A case study of the ready made garments industry in Bangladesh", Sustainability Accounting, Management and Policy Journal, Vol. 6 No. 2, pp. 166-189. https://doi.org/10.1108/SAMPJ-04-2014-0028

Publisher

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Emerald Group Publishing Limited

Copyright © 2015, Emerald Group Publishing Limited

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