Supervisory synergy: Local government oversight in fostering corporate social responsibility for a green economy
Keywords:
Supervisory synergy, Corporate social responsibility, Green economyAbstract
Corporate Social Responsibility (CSR) is mandated for all companies under Article 74 of Law no. 40 of 2007 concerning Limited Liability Companies, emphasizing the dual responsibility of companies to pursue profits while also considering the welfare of the communities in which they operate. This study delves into the intricate relationship between local government oversight and CSR endeavours, particularly in fostering a green economy. With businesses increasingly acknowledging their role in sustainable development, the supervision provided by local governments becomes pivotal in ensuring the effective execution of CSR practices. The research aims to investigates the dynamic interplay between local government supervisory mechanisms and CSR initiatives within the context of promoting a green economy. As businesses increasingly recognize their role in sustainable development, the role of local government oversight becomes crucial in ensuring the effective implementation of CSR practices. In this research, the method used is normative-juridical empirical method, the study not only scrutinizes literature but also investigates real-world events through observations and interviews. Furthermore, it explores the repercussions of these initiatives on stakeholder engagement and perceptions, recognizing the intricate dynamics between businesses, communities, and government entities. Through an exhaustive analysis, regulatory frameworks, and stakeholder viewpoints, the research endeavours to shed light of local government oversight can synergistically align with corporate endeavours, fostering the seamless integration of CSR into the framework of a green economy. The anticipated findings seek to enhance comprehension of the mechanisms driving successful corporate-social-environmental collaborations and offer policy suggestions to optimize the impact of CSR initiatives on sustainable development.
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