Various standard-setting initiatives have developed in recent years that are designed to induce companies to adopt more systematic, progressive and visible corporate social responsibility (CSR) policies. Some derive from forceful regulatory action by some European countries or pan-European regulatory bodies. Most, however, derive from efforts by various government and non-government groups to adopt standards to describe how companies should relate to employees and communities. These developments depart from the more voluntary forms of CSR favored in the USA and are having a significant effect on the reputation-building strategies of global companies in many countries. This paper reviews some of these evolving standards and regulatory developments and focuses attention principally on Europe, where they are being articulated most clearly. The European approach provides a potentially useful benchmark for understanding how companies are strengthening their reputations by converging on international norms of CSR.
