Challenges and Loop Holes in CSR Mechanism

  • Prachi Hitesh Shah and Prakriti Purohit
  • Show Author Details
  • Prachi Hitesh Shah

    LLM Student at Ajeenkya DY Patil University, India

  • Prakriti Purohit

    Asst. Prof. at Ajeenkya DY Patil University, India

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The article discusses the concerns and pitfalls of corporate social responsibility, as well as the loopholes that can be used to avoid CSR. Many businesses believe that corporate social responsibility is a non-essential aspect of their operations, with customer happiness being far more important. They believe that customer happiness is currently purely based on price and service, but they neglect to mention important changes that are occurring around the world that would completely revolutionise the business. The change is referred to as social responsibility, and it is a commercial opportunity. The practical execution of CSR is fraught with concerns and hurdles. An actual analysis of the listed companies reveals the problem and challenges. The primary reason that CSR was formed and regulated in the first place is that it has been reduced to a mere accumulation of profits while having no social impact. The act's goal was to instil business duties toward everyone who isn't affiliated with the company. It's important to remember that social responsibility isn't just about making monetary contributions. The manner in which these businesses make money is as important a notion as the revenues they generate. Firms have been behaving erratically on this front as a result of their non-compliance with CSR rules.



Research Paper


International Journal of Legal Science and Innovation, Volume 3, Issue 4, Page 500 - 508


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This is an Open Access article, distributed under the terms of the Creative Commons Attribution -NonCommercial 4.0 International (CC BY-NC 4.0) (, which permits remixing, adapting, and building upon the work for non-commercial use, provided the original work is properly cited.


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