An Overview of BSE FMCG Index Corporate Social Responsibility Initiatives.

Abstract

Corporate Social Responsibility (CSR) is generated from the belief that organizations have acquired materials, and human resources from society, and must give something in return for its origin. The study is descriptive in nature; it employed quantitative data considering 80 BSE FMCG index companies. The analysis shows that under normal economic condition, the projected spending based on the regulation made through the Companies’ Act 2013, exceed the actual spending for the BSE FMCG index. The study further utilized non-probability judgmental sampling; it chooses the top 3 CSR surplus spenders, and the top 3 CSR deficit spenders for comparison. The study then uses profit after tax (PAT) or net profit (NP) as an indicator of financial performance (FP), and CSR spending as a social performance. The finding reveals that there is a significant relationship between social and financial performance of Indian FMCG companies.