Managerial understanding of corporate social responsibility in Nepal

Purpose Considering the ongoing debate regarding the roles of business in society, this paper aims to examine the managerial understanding of corporate social responsibility (CSR) in Nepal. Design/methodology/approach This study uses explanatory sequential design under mixed methods of research. First, the questionnaire survey method was used to collect data from 168 managers of listed companies in Nepal. Second, semistructured interviews were conducted with 20 senior-level managers of listed companies to verify the results obtained from the survey and to gain a deeper understanding of the phenomena. Findings The survey results show that managerial understanding of CSR is mainly guided by the notions of corporate philanthropy, stakeholder approach and political CSR, respectively. However, the managerial understanding vis-à-vis political CSR and corporate philanthropy were found to be remarkably positively influenced by the firm’s size, whereas the stakeholder perspective was widely held by the managers regardless of their firm’s size. The interview results largely substantiated questionnaire survey findings and further revealed vivid dimensions within the philanthropic approach, stakeholder approach and political CSR. Practical implications Given the recent legal provisions vis-à-vis mandatory CSR spending in Nepal, the policymakers may devise and update common core and firm-size-specific informational, fiscal-economic, legal and partnering instruments based on the findings of this study. Besides, companies may go for appropriate institutional arrangements for CSR as needed. Originality/value The reaffirmation of conventionally accepted roles and the approval of relatively nascent political roles of business in a distinct socio–political–legal–economic context of Nepal can be an important contribution to the literature.