However, if there were no formal binding of legislation, it would be difficult to make employees comply with the rules and execute CSR practices effectively. In order to face this challenge, businesses need to align their framework based on certain principles that balances the financial and social performances of the company responding to stakeholders concerns at the same time (Schwartz, 2011). However, the framework and practices of Corporate Social Responsibilities varies with the culture and economy in which business operates. Mainly the communities in which the company operates are the major factors that drive ethical decisions of the corporation. The economic, cultural, environment and social issues are spontaneous. The pace of change in these factors is rapid and unpredictable. However, the core values of ethical conduct of the business are based on the effectiveness of the business to understand these changes and implement CSR policies that correspond with these issues.
Hence, some of the CSR activities of the organization are based on legal contracts, and some are not based on formal binding. In the both cases, Corporate Social Responsibilities that are not based on formal binding legislation enforcement are less meaningful.
Business ethics is code of conduct of the business it involves moral or ethical issues that may rise within a business with respect to its conduct with individuals or the entire organization. There are two dimensions of business ethics, normative and descriptive dimension. The Normative dimensions are the core corporate practice and specialization, and descriptive dimensions are experts and academics to understand the behaviour of business. In other words, Business ethics tells about the relation between the interactions of the organization with profit maximizing behaviour with non-economic concerns. However, there are several debates at international platform that citizen practices and framework of Corporate