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9.1 From CSR to ESG:

An Overview of the Evolution of Corporate Social

Responsibility

In the 1950s, a landmark legal case in the United States laid early groundwork for the concept
of corporate social responsibility. A shareholder filed a lawsuit against Standard Oil for donating
funds to Princeton University’s engineering department, arguing that the donation diverted
company profits toward a cause with no direct benefit to the business. However, in 1953, the
Supreme Court of New Jersey ruled in favor of Standard Oil, reasoning that such a contribution
could in fact benefit the company. Supporting higher education, the court explained, could help

develop future employees for the firm. This ruling became a key legal precedent that
encouraged companies to align business activities with broader social benefits. In retrospect, it
marked an early milestone in what is now known as strategic corporate social responsibility
(Strategic CSR) (cited in Heslin and Ochoa, 2008). Hence, since the late 20th century, the notion
that businesses must be accountable not only for producing goods and services and paying
taxes, but also for their wider social impact, has gained broad acceptance. This shift reflects
growing expectations that corporations contribute meaningfully to the communities in which
they operate. As noted in Box 9.1, the World Business Council for Sustainable Development
(WBCSD) provided a formal definition of CSR at its 1998 Stakeholder Dialogue in the

Netherlands: CSR is “the continuing commitment by business to behave ethically and contribute
to economic development while improving the quality of life of the workforce and their families
as well as of the local community and society at large.” (See also the historical development of
CSR in Chapter 2.)

In Thailand, the development of CSR has systematically taken shape only over the past three
decades. Toward the end of the 20th century, environmental concerns gained global
prominence through major conferences on the environment and sustainable development,
which introduced practical implementation frameworks. These global trends helped prompt

institutional efforts in Thailand to promote CSR. In 2006, the Securities and Exchange
Commission (SEC) established a working group to encourage corporate responsibility for social
and environmental issues among publicly listed companies. The following year, the Stock
Exchange of Thailand established the Corporate Social Responsibility Institute (CSRI) as a center
for disseminating knowledge, raising awareness, and encouraging government agencies, the
private sector, and civil society to recognize the value of CSR. The CSRI also played a leading role
in promoting the integration of international CSR standards into the operational frameworks of
Thai companies, particularly those listed on the stock exchange. The aim was to foster

sustainable, meaningful impacts on communities and the environment. In 2009, this mission
was further advanced when the Stock Exchange of Thailand supported the Thai Listed
Companies Association in founding the CSR Club. The club was created to strengthen CSR

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