STAKEHOLDER PERCEPTIONS OF CORPORATE SOCIAL RESPONSIBILITY INITIATIVES IN INDIA: INSTITUTIONAL PRESSURES, LEGITIMACY, AND IMPLICATIONS FOR RESPONSIBLE ENVIRONMENTAL MANAGEMENT

Corporate Social Responsibility (CSR) has become a central mechanism through which corporations respond to growing social and environmental expectations. In India, the introduction of mandatory CSR spending under the Companies Act, 2013 has further institutionalized CSR practices, while simultaneously intensifying debates regarding their authenticity and effectiveness. This study examines stakeholder perceptions of CSR initiatives in India, focusing on perceived transparency, accountability, alignment with community needs, and perceived contributions to social, economic, and environmental sustainability. Drawing on institutional theory and legitimacy theory, CSR is conceptualized as a socially constructed practice whose effectiveness is evaluated through stakeholder interpretation rather than objective performance indicators. Using survey data from 441 stakeholders and employing descriptive statistics, correlation analysis, and cluster analysis, the study identifies distinct perception-based patterns of CSR legitimacy. Findings reveal strong positive associations among perceived transparency, accountability, community alignment, and perceived CSR effectiveness, and identify two dominant stakeholder clusters: one perceiving CSR as symbolic and compliance-driven and another viewing CSR as substantive and sustainability-oriented. The study contributes to the literature on Corporate Social Responsibility and Environmental Management by empirically demonstrating how institutional pressures shape CSR perceptions in emerging economies and by highlighting the importance of legitimacy-building mechanisms for effective and credible CSR implementation.