What does corporate social responsibility (CSR) focus on?

Corporate social responsibility (CSR) focuses on the impact of business operations on social, economic, and environmental factors. This concept emphasizes the importance of businesses being accountable not just for their financial performance, but also for their impact on society and the environment. Companies engaged in CSR actively consider how their actions affect a wide range of stakeholders, including employees, customers, communities, and the environment.

By incorporating CSR into their strategies, businesses strive to create positive change and contribute to sustainable development. This can involve initiatives such as reducing carbon emissions, supporting local communities, ensuring fair labor practices, and promoting ethical sourcing practices. Ultimately, CSR is about balancing profit-making with actions that benefit society as a whole, reflecting a broader understanding of business success.

The other options miss the essence of CSR. For instance, focusing solely on profit maximization or only economic performance overlooks the social and environmental responsibilities that companies have. Similarly, developing new financial strategies does not inherently relate to the ethical implications of business operations on a larger scale.