Discussion
The necessity to conduct international activities
due to the limited domestic markets for products
automatically facilitates the integration of the
best practices of social responsibility into the
management system and consideration of the
institutional environment, the requirements of
stakeholders in foreign markets. Corporate
governance, as the main component of the
system, forms internal norms, business
standards, sets the rules for organizing risk
management, reorganizing the company if it is
necessary to change the rules of operation, team
work ethics, accounting policy and management
accounting of transactions, financial policy, and
policy for the introduction of technologies
simplifying transactions with contractors.
CSR practice is integrated into the sustainable
development strategies of TNCs, which
determine the ways, methods and forms of
communication, the areas of responsibility of
stakeholders. Moreover, agricultural holdings
actively cooperate with local communities,
processing their complaints in accordance with
the established interaction mechanisms.
The internal practice of CSR is focused on
developing norms and standards of moral
behaviour with stakeholders in order to
maximize economic and social goals. Economic
goals are aimed not only at making a profit, but
also at minimizing costs due to the potential risks
of corruption, fraud, conflict of interest. These
risks can cause significant damage to the
company and loss of reputation on the part of
partners and suppliers. Therefore, within the
framework of CSR, corporations implement
plans for interaction with suppliers, partners, and
shareholders, determine the frequency of
communications and accountability. Cooperation
has become one of the important elements of
social responsibility, which provides added value
to business and the value of corporate activities.
Conclusions
The system of corporate social responsibility of
modern TNCs is clearly regulated by internal
documents defining the list of interested parties
and stakeholders, their areas of responsibility,
which greatly simplifies the processes of
cooperation and responsibility. The need for the
functioning of agricultural holdings in the world
markets, which are characterized by differences
in the institutional environment, necessitates the
introduction of uniform rules, principles of
corporate governance, social responsibility and
ethical standards. As a result, corporations form
their own internal institutional environment.
Ethical norms help to avoid risks of opportunistic
behaviour of the staff, conflicts of interest, cases
of bribery, corruption, fraud. Agricultural
holdings form and disseminate internal norms,
rules, business standards to the external
environment when interacting with stakeholders
in accordance with sustainable development
strategies. Reorganization of the management
system (organizational structure, in particular) is
one of the areas of CSR implementation, which
contributes to a clear definition of areas of
responsibility within the framework of
interaction plans and corporate development
programs.
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