Leading Property Companies in Hong Kong, such as San Hung Kai Properties and Henderson Land Development Company Ltd are one of the sectors that are most influenced and profitable in this city. Holding a majority of lands, buildings and much capital, these firms have been a major concern of the public in regard of their influence on the society. In this essay, different views on the corporate social responsibility (CSR) are examined and justified using the shareholders theory and stakeholders theory of CSR.
Background Information of Leading Property Companies
In general, the term leading property companies are often referred to the three largest property developers in Hong Kong, the San Hung Kai Properties (San Hung Kai) and Henderson Land Development Company Ltd (Henderson) and Chueng Kong Properties (Chueng Kong), which have seemingly achieved a dominance in both the property market and wealth rank among local enterprises. To be detail, San Hung Kai possess about 41.9 million undeveloped total gross floor area and 44 million developed or developing investment properties (San Hun Kai, 2013), while those of Henderson are 19.8 million and 2.4 million respectively (Henderson, 2013). On the other hand, Cheung Kong holds 0.3 million developed investment properties and unknown amount of undeveloped land (Poon,2010).
Companies' Actions Regarding CSR
Along with the huge profit gained recently, these firms have also recognized the recent trend of corporate social responsibility, and have taken related actions. For instance, San Hung Kai engages actively in green buildings, social well-being of its employees and sustainable development. Specifically, it establishes “Building Homes with Heart” Caring Initiative to provide assistance to households facing difficulties due to natural disasters (San Hun Kai, 2013). The other firm, Henderson, provide an immense support on the government's “Bless HK” Campaign by funding for various events of it. Moreover, it has initiated many projects of sustainable buildings, which have achieved excellent result in the HK BEAM award (Henderson, 2013). On the other hand, Cheung Kong has been supporting numerous charities in Hong Kong, being the top3 donor Community Chest for 14 consecutive years. It also participates actively in reducing energy use and carbon footprint for a better environment (Cheung Kong, 2012).
In the following paragraph, these companies' action are evaluated under the principle of shareholders and stakeholders theory of CSR.
Comments on the Above Actions Regarding CSR
The first perspective with which to look at is the shareholder theory of CSR, which is highlighted with Milton Friedmen's famous view of CSR. In his publication, he stated that "there is one and only one social responsibility of business -– to use its resources and engage in activities designed to increase its profits...” provided that the business is operated in fair competition (Friedman, 1970). It is noted that the...