EuroBiz magazine is the internal journal of the European Union Chamber of Commerce in China, published monthly for Chamber members by SinoMedia Ltd. Distributed to over 20,000 China-based company decision-makers.

Taking on responsibility

CSR is more than charity. It can, and should, yield benefits

By Michael Adams

Foreign companies in China have become increasingly vulnerable to this type of criticism. While many multinationals are admired for high quality standards, expectations of them have soared to sometimes unreasonable levels in recent years. As one senior public relations manager put it to EuroBiz last year, the honeymoon with Chinese consumers has ended, and large companies are now fair game for negative attention.

There are three main reasons for the recent rise in expectations, says Alan VanderMolen of public relations firm Edelman: government activism, the advent of non-governmental organisations and increased consumer sophistication as a result of higher living standards.

One form this has taken in China is that more people expect companies to have a sense of duty to society. A recent study by Edelman found that the number of people polled who thought being concerned about or active in the community is part of being a "responsible corporation" rose from 35 percent in 2006 to 51 percent in 2007. According to the survey, only 13 percent of respondents say they trust companies to "do what is right", compared with 19 percent in 2006 and 21 percent in 2005. "The recent product safety issues - which have been covered very well in the media - are especially negative, which leads to increased scepticism," says VanderMolen.

This was the subject of a European Chamber event recently held in Shanghai, titled "Corporate Scepticism about Responsibility". At the seminar, the point was made that many now view corporate social responsibility (CSR) campaigns as stunts designed to cover up companies' other blemishes. Doubt doesn't just apply to consumers - it can plague employees and senior management as well. [Read more]

Download EuroBiz Magazine, January 2008

PDF version, 7.5MB, 64Pages.

34 Cover Story Corporate Social Responsibility
CSR is more than charity. It can – and should –provide tangible benefits to the company

38 Regions Fujian
Fujian is brimming with foreign investment, much of it still dependent on cross-strait links with Taiwan

Visit The European Union Chamber of Commerce in China Official Website

The Chamber was formed with the support of the EU Delegation in Beijing on 19th October 2000. It is a non-profit membership fee-based organisation with offices in Beijing, Shanghai and Nanjing, Guangzhou, Tianjin and Chengdu.

Today, the Chamber is the leading exponent of European business interests in China creating a continuously growing business forum. It comprises of over1090 members, from global companies to small-medium enterprises. Its mission is to serve member companies by being the Voice of European Business in China.

It is built around a core of some 30 Working Groups,  which meet regularly to discuss business issues in their respective industries. The Working Groups contribute to an annual Position Paper on Business in China, which the Chamber presents to the Chinese and European governments.

The Chamber is managed by a National Executive Committee made up of representatives from various European Member States. The Supervisory Board and the Advisory Council provide strategic input for the National Executive Committee. Each Chapter is managed at the local level by a Local Board which reports directly to the National Executive Committee.

Executive Committee members, the Supervisory Board and Local Boards are elected at the Spring Annual General Meeting.

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