ABSTRACT
Just as society has evolved over time, so have the responsibilities of corporations. The role of corporate sustainability in a firm is a dynamic one in which managers must constantly address the ever-changing needs of its stakeholders in order to ensure the firm’s long-term sustainability. In this opening chapter, a number of fundamental concepts related to corporate sustainability are addressed. These concepts include: how business titans from the past addressed philanthropy and corporate sustainability; the evolution of corporate sustainability; why corporate sustainability is important for firms; the criticisms related to corporate sustainability; conscious capitalism; the corporate sustainability pyramid; the description of stakeholder theory; the identification of critical stakeholders; stakeholder engagement; stakeholder dialogues and corporate sustainability; and stakeholder theory and corporate sustainability. The chapter begins with an opening vignette discussing Merck’s philanthropic actions related to curing river blindness. The chapter finishes with a description of Merck’s unethical actions related to its painkiller Vioxx.
