2025, Vol. 6, Special Issue 2
Corporate philanthrophy in India-Evaluation, challenges and future directions
Author(s): Shikha Sharma and Babita
Abstract: Corporate philanthropy has increasingly become a cornerstone of socially responsible business conduct in India, particularly following the enactment of the Companies Act, 2013.Companies must distribute at least 2% of their average net profits towards Corporate Social Responsibility (CSR) initiatives as mandated by this act. This policy not only institutionalized corporate giving but also ushered in a new era where social investment is no longer optional but a legal and ethical expectation. Traditionally rooted in India's socio-cultural values, corporate philanthropy has matured into a more strategic, goal-oriented practice aligned with national development priorities. This research investigates the evolution and current dynamics of corporate philanthropy in India, using qualitative analysis and secondary data from scholarly literature, government sources, and company CSR disclosures. The study explores key themes such as sectoral trends, strategic alignment, regulatory influence, and the role of governance. Focus areas like education, healthcare, rural infrastructure, and environmental sustainability emerge as top beneficiaries of corporate CSR spending. Findings suggest a growing shift from short-term donations to long-term, impact-driven initiatives. However, several challenges remain, including inconsistent impact assessment, inadequate community engagement, and program standardization that often overlooks local needs. Companies with strong governance and independent CSR committees tend to demonstrate more accountable and effective philanthropic efforts. The paper concludes that corporate philanthropy in India is evolving toward a more mature, structured model. To maximize social impact, businesses must transcend regulatory compliance and adopt integrated, transparent, and inclusive approaches that generate shared value for both society and stakeholders.
DOI: 10.22271/27084515.2025.v6.i2Sa.623
Pages: 15-17 | Views: 111 | Downloads: 26
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How to cite this article:
Shikha Sharma, Babita. Corporate philanthrophy in India-Evaluation, challenges and future directions. Asian J Manage Commerce 2025;6(2S):15-17. DOI: 10.22271/27084515.2025.v6.i2Sa.623
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