The Role of Impact Investing in Shaping CSR Efforts

Abstract

Corporate Social responsibility (CSR) has no longer been just philanthropies but has to be tactical according to the business interests and contribution to the society. The principle of impact investing to receive measurable social and environmental outputs and financial outcomes has an increasingly significant influence on the design and practice of the CSR policies of corporations. The current paper explores the role of impact investing in developing CSR initiatives, the impact of socially oriented investments on the corporate policy, the relationships between the stakeholders, and the sustainable development programs. The study will apply a mixed-method approach that will combine the results of surveys on managers working in a corporate institution and case studies concerning the best companies to identify the predominant drivers, issues and the outcomes of incorporating impact investing in CSR. The findings reveal that those companies that engage in impact investing are more effective in CSR, they have trusted stakeholders, and sustainable development objectives. The study is applicable to those corporate managers, policymakers and investors who would desire the social impact to be maximized through CSR.