Can Nudging Consumers Help Promote Corporate Social Responsibility?

Governments around the world are trying to determine how to effectively promote corporate social responsibility (CSR). It has proven to be hard to regulate for CSR, so the focus has been on other policy initiatives. On the supply side, in response to calls from governments, corporations have adopted codes of conduct and related programs to promote CSR. In the eyes of CSR activists, these efforts have produced limited progress.

Attention is also being paid to the demand side of the equation. If consumers prefer socially produced goods, corporations will have incentives to adopt strong CSR programs. Behavioural sciences have suggested less interventionist ways to steer consumer choice towards socially responsible choices, in particular through various forms of nudging and social norms. Continue reading “Can Nudging Consumers Help Promote Corporate Social Responsibility?”