Western enterprises view social responsibility as an essential element when making overseas investments. However, when Chinese companies are making money overseas, the issue of taking social responsibility is a hindrance, according to a report on China Dialogue.
What Chinese corporations do not yet understand is that “in many developing countries, the voice of the people is very important,” the China Dialogue article said. Chinese firms fail to anticipate environmental conflicts that eventually break out with locals, and their financial consequences.
In fact, when the local people or non-governmental organizations (NGOs) attempt to talk with Chinese enterprises, trying to solve the problems between them, the Chinese enterprises are reluctant to communicate or respond. Most of the Chinese companies view NGOs as groups similar to anti-government organizations, or even anti-Chinese forces, referring to them as “lackeys.”
Chinese enterprises overseas “on one hand pollute the environment, and on the other hand plant trees for show,” the article said. “They are terrible to their employees, but generous to the [foreign] government… These Chinese companies confuse marketing their firm with communication with the locals. They also treat the media as an obedient tool for their firm.”