Socially responsible business

A socially responsible business (SRB) is a generally for-profit venture that seeks to leverage business for a more just and sustainable world. The objective of the SRBs involves more than just maximizing profits for the shareholders; it is also about creating positive changes and making valuable contributions to the stakeholders such as the local community, customers, and staff.^[1] In other words, the SRB is both profit-oriented and socially responsible as these companies seek to make financial gains, and at the same time, aim to improve the well being of the community.^[2] In doing so, the businesses engage in the voluntary initiatives with the aims of improving in various areas ranging from the social to environmental aspects of the society.^[1]

The concept of SRB is considered to be the highest level of involvement between the company and the community in which it operates. It holds a similar concept to Corporate Social Responsibility (CSR) in terms of having a common goal to make positive contributions, minimizing harmful effects, and being a force for good in society.^[3] The main difference is that the SRB goes beyond these activities and ultimately aims to create a market space for itself.^[4] It can be achieved through forming partnerships and alliances with the local community and collaborating with groups such as non-governmental NGOs. The SRB prioritizes a socially responsible activity and demands to create a long term relationship with their community.^[1]