Read the following passage and answer the questions based on the passage :
Corporate Social Responsibility (CSR) has evolved from being a peripheral philanthropic gesture to an integral strategic imperative in contemporary business ecosystems. Modern corporations are increasingly cognizant of their multifaceted responsibilities—not only to shareholders but also to employees, consumers, communities, and the environment. This paradigm shift reflects a recognition that long-term profitability and sustainability are inextricably linked to ethical conduct and inclusive growth. CSR transcends token charity; it encompasses deliberate initiatives aimed at environmental stewardship, equitable labour practices, transparent governance, and community development. For instance, corporations may engage in afforestation drives, fund educational scholarships, ensure fair wages, or invest in renewable energy solutions. Such undertakings are not merely altruistic—they bolster corporate reputation, foster consumer loyalty, and mitigate regulatory risks. In some jurisdictions, like India, CSR has been legislated, mandating certain profit thresholds to be reinvested into socially beneficial projects, thereby institutionalizing moral capitalism. However, genuine CSR is distinguished from superficial public relations exercises by its intent, consistency, and impact measurement. Tokenistic CSR—where companies engage in isolated acts of giving to polish their public image—can often be counterproductive, exposing ethical hollowness when scrutinized. Conversely, purpose-driven CSR, embedded into core business strategies, can catalyze innovation and expand market reach, especially in underserved regions. Furthermore, stakeholders—particularly the socially conscious millennial and Gen Z demographics—now scrutinize corporate behaviour with unprecedented vigilance. With social media amplifying accountability, any dissonance between a company’s stated values and its actions can provoke swift reputational damage. Therefore, CSR today is as much about risk mitigation as it is about value creation. Ultimately, the most impactful CSR initiatives are those that align profit motives with societal advancement. When businesses act not merely as economic entities but as responsible social agents, they contribute meaningfully to holistic progress, bridging the chasm between commerce and conscience.
Which action reflects purpose-driven CSR as per the paragraph?
- (a)Occasional charity events
- (b)Investing in renewable energy
- (c)Publishing glossy brochures
- (d)Avoiding taxes
Answer
Why
Correct — B. The passage lists what real CSR involves: corporations "may engage in afforestation drives, fund educational scholarships, ensure fair wages, or invest in renewable energy solutions."
It then sets purpose-driven CSR, "embedded into core business strategies", against tokenistic CSR, "isolated acts of giving to polish their public image".
Renewable energy is the one option taken from the passage's own list of initiatives → option (b).
Why the others are wrong
- (a)Occasional charity events — Occasional charity events are the "isolated acts of giving" that the passage calls tokenistic CSR, the kind that "can often be counterproductive".
- (c)Publishing glossy brochures — Glossy brochures polish a public image, which is exactly what the passage holds against tokenistic CSR and "superficial public relations exercises".
- (d)Avoiding taxes — Avoiding taxes is not CSR in any form the passage describes. It ties CSR to "ethical conduct" and "transparent governance".
Concept
The passage draws a line between two kinds of CSR.
Tokenistic CSR: "isolated acts of giving to polish their public image", which can expose "ethical hollowness when scrutinized".
Purpose-driven CSR: "embedded into core business strategies", which can "catalyze innovation and expand market reach".
An action counts as purpose-driven when it is part of how the business works, not a one-off gesture for publicity.
The passage does not attach the words purpose-driven to renewable energy itself. It lists renewable energy among CSR's deliberate initiatives, and the question asks you to connect that list with the purpose-driven versus tokenistic contrast a few sentences later.
Key facts
- The passage's examples of CSR: afforestation drives, educational scholarships, fair wages and renewable energy solutions.
- It defines tokenistic CSR as "isolated acts of giving to polish their public image".
- It says purpose-driven CSR can "catalyze innovation and expand market reach, especially in underserved regions".
Study next
Common traps
- Choosing charity events because charity sounds like social responsibility
- Looking for the words purpose-driven right next to the answer, when the example sits a few sentences earlier
English Q.17 on the same passage asks how genuine CSR differs from tokenistic CSR, the contrast this question applies to a single example.
Related PYQs
No directly related past PYQ was found.