A demographic examination of societal views regarding corporate social
responsibility in the US forest products industry
Rajat Panwar
a,
⁎, Xiaoou Han
b,1
, Eric Hansen
c,2
a
Department of Business, Northland College, 1411, Ellis Avenue, Ashland, WI-54806, USA
b
Forest Business Solutions Team, College of Forestry, 244 Richardson Hall, Oregon State University, Corvallis, OR, 97330, USA
c
Forest Products Marketing, Forest Business Solutions Team, College of Forestry, 119 Richardson Hall, Oregon State University, Corvallis, OR, 97330, USA
abstract article info
Article history:
Received 20 January 2009
Received in revised form 28 July 2009
Accepted 3 September 2009
Keywords:
Corporate social responsibility
Issues management
Demographics
Forest products industry
As corporate social responsibility (CSR) becomes an increasingly mainstream proposition for business
organizations, it is becoming increasingly important to develop sector-specific knowledge as well as to
explore different aspects of this concept. Adopting an issues management approach, we have discussed that
understanding perceptions and expectations of various demographic segments about business performance
along relevant social and environmental issues is a research gap in the broader field of CSR. This is
particularly true for forest products industry in the US where there is very little research done in the field. For
filling this gap, data was collected from the residents within the states of Washington, Oregon, Idaho, and
Montana. Results indicate that varying degrees of differences exist in different demographic categories
(gender, education level, place of residence, and age). These results have important implications for the US
forest products sector, especially as companies formulate their socio-environmental strategy and
communication.
© 2009 Elsevier B.V. All rights reserved.
1. Introduction
During the century following the Industrial Revolution, Adam
Smith's (1776) classical economic view suggesting that wealth
maximization ushers in the greatest common good, remained the
guiding philosophy for many societies and for most businesses that
operated within those societies. As a result, businesses largely focused
on their financial gains with minimal consideration for any negative
impact that they may have had on society. While economic activities
were expanding unabated during this period, a general deterioration
in the physical environment as well as sporadic instances of social
harm accompanied this economic progress. It followed that a societal
sentiment emerged relating socio-environmental deterioration to the
free-reign nature of business operations. This led to an increased
reliance on legal mechanisms in order to shield society and the
physical environment from any potential harm that business
organizations could inflict upon them.
Around the mid-twentieth century, Bowen (1953) proposed the
idea of social responsibility and emphasized that businessmen should
pursue policies, decisions, and actions that align with broader societal
objectives and values. This implies that while legal mechanisms still
remain in place, business managers must assume voluntary respon-
sibility for their actions. The notion of volunteerism entails businesses
transcending mere legal requirements and taking proactive steps for
the protection and enhancement of social and environmental well-
being. This idea, commonly referred to as corporate social responsi-
bility (CSR), has been gaining increased acceptance and has become a
separate academic discipline and an important focus area for business
practitioners. Marx (1986) maintains that major changes taking place
in the traditional relationship between business and society are
creating crucial problems that modern business managers face.
While CSR has relevance across all industries, some industries have
more impact on the environment and/or society than others (Carroll,
1979). For example, it may be argued that the banking sector has a
lower environmental impact than, say, automobile manufacturing. On
the other hand, the insurance sector may have more social implica-
tions for particular societies (such as the US) than, say, tourism. Also,
as Gordon (1991) suggests, societal expectations about social
responsibility may vary from one industry to another. Thus, from a
societal viewpoint, such contextual differences bring certain industry
sectors to the center of the CSR debate. Understanding such
differences entails a deeper understanding regarding perceptions as
well as expectations that society has of particular industry sectors in
terms of their environmental and social performances.
In the US context, the forest sector holds an important place both
from an economic as well as socio-environmental viewpoint. During
Forest Policy and Economics 12 (2010) 121–128
⁎ Corresponding author. Tel.: +1 715 682 1231.
E-mail addresses: rpanwar@northland.edu (R. Panwar),
xiaoou.han@oregonstate.edu (X. Han), eric.hansen2@oregonstate.edu (E. Hansen).
1
Tel.: +1 541 737 8498.
2
Tel.: +1 541 737 4240.
1389-9341/$ – see front matter © 2009 Elsevier B.V. All rights reserved.
doi:10.1016/j.forpol.2009.09.003
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