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Corporate Social Responsibility and Public Governance: An Analysis of Their Interrelationships in GCC Countries

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Corporate Social Responsibility and the Three Sectors in Asia

Part of the book series: Nonprofit and Civil Society Studies ((NCSS))

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Abstract

In the six Gulf Cooperation Council (GCC) countries, liberal economic policies of the government have created an economic structure that is highly dependent on an expatriate workforce, thus marginalizing the citizens in terms of the economy and demography. This chapter deals with questions such as “If the profit motive of the private sector is leading to possible social crises in the GCC countries, what is the CSR of the private sector?” and “How are the six GGC governments positioned in influencing CSR?” With an overview of business and its social responsibility in the GCC countries, this chapter undertakes a case study of CSR in the UAE. It shows that social responsibility of business entities in the GCC countries is limited to complying with the corporate governance reporting regulations of the government. The chapter, however, concludes that because the economic and political power structures are entwined (being connected to the social and tribal systems), the GCC governments can influence the business community only through persuasion, not legislation. Therefore, it is unlikely that the character and extent of CSR in the GCC countries will change any time soon.

The original version of the book was revised: For detailed information please see Erratum. The erratum to this chapter is available at 10.1007/978-1-4939-6915-9_11

An erratum to this chapter can be found at http://dx.doi.org/10.1007/978-1-4939-6915-9_11

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Notes

  1. 1.

    One of the NASDAQ companies (Dubai) requires an outsider to accept a long list of rules and regulations as condition for accessing its reports. The company was excluded from the analyses presuming that it may have conditioned the use of its report with exclusive rules and codes.

  2. 2.

    God’s blessings and peace be on him (PBUH). Muslim readers are supposed to (and reminded of the obligation to) utter blessings to the Prophet every time they come across his name in this chapter.

  3. 3.

    Eighteen of 35 sons are still alive. King Salman is the fifth brother to hold the position. The Crown Prince Muhammad is, however, a grandson of King Abdul Aziz. For an interesting insight, see Lacey (2009). A grandson of King Abdul Aziz is now in the line to become the next king.

  4. 4.

    The Emir of Dubai, Sheikh Muhammad, succeeded his brother but is to by succeeded be his son (the current Crown Prince).

  5. 5.

    The Federal Supreme Council, composed of the rulers of the seven constituting emirates of the UAE, is “the highest authority in the Union” responsible for making “general policy in all matters” of the country where Abu Dhabi and Dubai hold veto power.

  6. 6.

    The first State Consultative Council (al majlis al-istishari lil-dawlah) was established in 1981 with 43 appointed members (including 11 under-secretaries from the social-service ministries) to advise the government on selected issues.

  7. 7.

    His grandfather, father, and uncle served as religious judges in Najd. He had religious education under his father, then in Medina and Basra, see Baskan, and Wright (2011).

  8. 8.

    Literature compiling the Prophet Muhammad’s Sunnah (in the form of the Prophet Muhammad’s words, acts, and consents).

  9. 9.

    Plural of alim or alem −one who has acquired and practice ilm (knowledge), in particular about Islam and its tenets.

  10. 10.

    The salafis (literally meaning the followers of the “ancestors”), due to their claimed adherence to teachings only of the Prophet Muhammad and the Sahabas (first generation of Muslims who were Companions of the Prophet), are also called the Ahl-e-Hadith or the people of the Hadith, see Esposito (2002).

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Hasan, S. (2017). Corporate Social Responsibility and Public Governance: An Analysis of Their Interrelationships in GCC Countries. In: Hasan, S. (eds) Corporate Social Responsibility and the Three Sectors in Asia. Nonprofit and Civil Society Studies. Springer, New York, NY. https://doi.org/10.1007/978-1-4939-6915-9_7

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  • DOI: https://doi.org/10.1007/978-1-4939-6915-9_7

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