Pressure rises for companies to become 'good corporate citizens'

The Emirates Foundation will fund a research to investigate the social responsibility of local businesses.

The Emirates Foundation will fund a study into why some companies behave responsibly and others don't. The study, to be carried out by the Dubai Chamber of Commerce and Industry, will examine ways of defining and measuring corporate responsibility. It will also try to determine the factors that motivate companies' behaviour and identify areas of poor practice. "During the current financial crisis, companies are increasingly scrutinised by stakeholders," said Dr Peter Cleaves, the foundation's chief executive. "It is important that they show they are good corporate citizens." He noted that bad behaviour by companies damages their - and the country's - reputation, hurt their business interests and demotivate their employees. "The Emirates Foundation is committed to improving the business environment of the UAE through projects such as this," Dr Cleaves said. The foundation and chamber of commerce also hope the research will foster confidence among investors and consumers, as well as encourage employees to work for "socially responsible" organisations and institutions. As part of the study, researchers will send questionnaires to thousands of companies and conduct follow-up interviews with executives. The study is expected to be completed within six months and the findings will be made public. [e-mail]