A Study On Corporate Social Responsibility Of Chinese Commercial Banks

It is without doubt that commercial banks are among the most resourceful and influential business organizations in the global economy.During the twentieth centurycommercial banks grew to become a backbone for our modern society andconsequently western academics began to debate how these businesses could share in the relevant economic, management, social and legal responsibilities of the day.Accompanying the implementation of the government’s reform and opening up policy, the study of social responsibility for commercial banks has captured national headlines and drawn attention from all sectors of society. Thousands of analytical reports as well as theoretical articles have contributed to public debate on this topic. Unlike mainstream theory, social responsibility for commercial banks is not based on a profound theoretical foundation and strict logical methodology. Practically speaking, there are questions that still need to be explored to understand more fully the flourishing corporate social responsibility (CSR) movement. What is the theoretical pivot behind this movement? What is the relevantcontent of social responsibility for commercial banks? What benefits can socially responsible practices contribute to our life? And are these practices contradictory to traditional economic theory which emphasizes the need for profit maximization? Whilst these questions might represent the tip of an iceberg,they are a suitable starting point for this article, as it seeks to decipher the CSR movement.Finance is the core of the modern economy. As a part of the financial system, commercial banks hold a critical position within the national economy. With the continued globalization of the financial industry, commercial banks in Chinaare responsible for allocating domestic and foreign financial resources, to ensure the stable operation of the financial systemand the implementation of national macroeconomic policies.The fact that competition among commercial banks is becoming fiercer and issues of social integrity receiveever increasing public attention means thatit isan imminent priority for commercial banks in China to research and fulfill their social responsibilities.In order to explore the challenges which constrain the development of CSR in China, to identify the reasons leading to these challenges and to narrow the gap with foreign best practice, this article will present a current analysis of CSR goodpractice overseas and an empirical analysis of domestic CSR practices.Based on a discrepancy analysis, this article will provide suggestions inthe following areas relevant to China:How can financial institutions strengthen the awareness of corporate social responsibility? How can the commercial banks effectively fulfill their social responsibilities and catch up with leading global financial institutions, not only relying on their self-constructed practices but also the efforts of governments to build suitable regulatory environments?...