CORPORATE RESPONSIBILITY & GOVERNANCE

 Running Head: CORPORATE RESPONSIBILITY & GOVERNANCE 1
Corporate Responsibility & Governance
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CORPORATE RESPONSIBILITY & GOVERNANCE 2
Abstract
This paper intends to assess the corporate social responsibility practices of Walmart. Social
reporting practices followed by the company has been described in the paper. Moreover,
changes adapted by the company over the years in terms of its CSR practices has been
described in the paper. Some of the recommendations have also been provided to improvise
the CSR strategy of Walmart. 
CORPORATE RESPONSIBILITY & GOVERNANCE 3
Table of Contents
Introduction................................................................................................................................4
CSR Practices of Walmart .........................................................................................................6
Objectives ..............................................................................................................................6
Scope......................................................................................................................................7
Activities................................................................................................................................7
Social Reporting Practices.........................................................................................................7
Impact of the US Regulatory Environment on Walmart’s Corporate Governance Model........8
Changes in Walmart’s CSR Practices over Time ......................................................................8
Conclusion .................................................................................................................................9
Recommendation .......................................................................................................................9
References................................................................................................................................10
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Introduction
It will be instantly approved if one states that the concept of corporate governance has
existed since the existence of any form of organization (Aras & Crowther, 2012). The idea of
corporate governance serves as a model that encompasses the means through which
organizations prepare their conduct of business conduct. Over the recent past the term
corporate governance has come to the vanguard of public attention largely due to the ongoing
issues related to governance that have cropped up both at the national level as well as the
economic level where it concerns the organization.
At the same time governing bodies have also stated the importance of considering the
needs and determinants of the society while conducting business. As has been mentioned by
Adrian Cadbury, the best way of explaining social responsibility is to state that the sustained
prevalence of organizations is supported by a mutual accord between the organization and the
community. Sir Adrian Cadbury (2002) has also argued that the core meaning of the
agreement between the business and the society is that organizations should not go after
achieving their immediate profit making objectives by compromising with long term needs
and requirements of the community. Therefore it can be seen that corporate social
responsibility has gradually become an integral aspect of the mainstream corporate
governance (Word Press, 2013).
It is with regards to this fact that the researcher will be attempting to analyze the
corporate governance model and corporate social responsibility (CSR) practices of Walmart
in order to adjudge its efficacy in the contemporary business environment. Moreover, the
researcher will also be analyzing the institutional and regulatory environment in the US in
order to assess its impact on the corporate governance model adopted by Walmart. Finally the
researcher will be emphasizing on the changes in Walmart’s CSR practices over time in order
to provide feasible recommendations.
Institutional Environment in the US
The US being a free market economy has proven to be one of the most favourable
business locations for not only the home country organizations but for companies based in
other countries as well. However the institutional and regulatory environment can become
very daunting for the businesses that have been established here (Fagan, 2014). The last two
decades have been witness to various catastrophic events that not only questioned the
integrity of the companies which were involved in those events but also highlighted the
loopholes that existed within the US institutional environment. The WorldCom and Enron
failure as well as the financial crisis in 2007-08 revealed the ineffectiveness of the US
institutional environment. It is after the unfolding of such catastrophic incident