By Han Bin, Journal of Management World

Research Report, No.314, 2021 (Total 6379) 2021-10-28

Abstract: Donation from enterprises is the main source of charitable revenue in China, and the donation of listed enterprises plays an important role in promoting common prosperity in the stage of high-quality development. The tenth meeting of the Commission for Finance and Economy under the CPC Central Committee emphasized that “high-income people and businesses should be encouraged to give more back to society.” Since the 18th National Congress of the Communist Party of China, donations from listed enterprises have shown steady increase, with the number of participants and the amount of donations reaching a new level, which actively assisted targeted poverty alleviation in China. However, such kind of donation still faces some obstacles and risks, as shown in the following aspects. The top-level design is not systematic enough, and the donation links are not connected smoothly. The development of charitable organizations is slow, and charity through enterprises has potential risks. The sustainability of enterprise donations is weak, and the level of regional donation distribution is uneven. Thus this paper offers the following policy options. We need to further improve the top-level design and strengthen the compatibility between donation laws and regulations. We should prevent donation risks and enhance donation law and regulation compliance supervision on enterprises and the private sector. We should also optimize the pattern of donation distribution and improve continuity and regional balance of donations.

Keywords: listed enterprises, donation of private sectors, enterprise’s social responsibility, third distribution