Should International Companies Operating in China Have to Choose between Local Cultural Values or Global Sustainability Standards when Executing CSR Ini tiatives?

Abstract

The dissertation provides an in-depth analysis of the strategic dilemma of the multinational corporations in China. The primary purpose and goal of the study is to determine the need to address the issue of whether multinationals operating in China should prioritize global sustainability standards or embrace local cultural values in the process of implementing corporate social responsibility initiatives. The proposed study was conducted using a qualitative research design that relied on secondary sources to examine how MNCs can find a balance between the Chinese cultural values and the current global standards of sustainability. As the results of the study show, the local cultural principles and global sustainability principles should be considered during the process of CSR implementation in China. The research has also established that the implementation of CSR is contextual, and therefore, there is a need to pay attention to the prevailing local values. Nevertheless, the study also stresses the necessity to follow the global standards of sustainability when utilizing the CSR programs. The dissertation finds that multinational organisations working in China must use a hybrid model in their CSR implementation, which is a mix of global sustainability norms and cultural values. Firms doing business in China can take advantage of a hybrid model because it will enhance the company’s relationship with the consumers in the domestic market and also assist in compliance with the global sustainability standards.