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MIF Approves $1.3 Million For Corporate Social Responsibility In Small And Medium-Sized Enterprises In Brazil
MIF Approves $1.3 Million For Corporate Social Responsibility In Small And Medium-Sized Enterprises In Brazil
Published 08-05-05
Submitted by Inter-American Development Bank
The project will work with a group of large companies interested in assisting, both financially and through mentoring, SMEs that are suppliers and contractors in their value chains implementing corporate social responsibility measures.
The project will develop methodologies and conditions to implement corporate social responsibility among value chains in small and medium-sized companies, and it will disseminate the results to promote a competitive spirit and application of the model by other firms.
An additional 680 small and medium companies will benefit indirectly by becoming aware of the benefits of corporate social responsibility, while consumers and the society in general will enjoy goods and services produced in a socially responsible manner.
"Corporate social responsibility is defined as business behaviors based on ethical values, principles of transparency and continuous improvement in the relationship between the enterprise and its stakeholders," said MIF team leader Daniel Shepherd. "It is part of a new sustainable development model based on profitability and competitiveness while working for the common good."
Among the concerns in this area are human rights and environmental considerations, anticorruption measures, labor conditions and community-based activities through partnerships with civil society organizations.
"Consumer awareness has increased significantly in Brazil. Almost half of the Brazilians interviewed by an independent market research institution expressed interest in socially responsible business practices," Shepherd added. "Brazilian companies, especially the large ones, are increasingly interested in being seen by consumers as socially responsible."
Instituto Ethos de Empresas e Responsabilidade Social, a nonprofit organization created in 1998 by a group of entrepreneurs, will be in charge of the project. Ethos assists businesses to incorporate social responsibility measures in their day-to-day activities. It has more than 1,000 member companies, which account for over 30 per cent of the country's gross domestic product and approximately 1.3 million workers. It has been a pioneer in the field, not only in Brazil but also in all Latin America.
The MIF, an autonomous fund managed by the Inter-American Development Bank, supports the development of the private sector and investment in Latin America and the Caribbean, with emphasis on micro, small and medium-sized companies.
Inter-American Development Bank
