There are a lot of theories have been developed about the reasons why firms should do and engage in CSR activities. Fleischman and Valentine (20008) states the most significant reasons is a kind of a motivation desirable to help stakeholders in such way that over traditional profit-making considerations, societal pressures based on institutional economics whereby external and internal stakeholders require to be satisfied and self-interest for enhance the performance of the companies.
Many firms might have motivations for doing CSR, like the real care of their society and environment that would finally become their source of human capital as well as raw materials that they need to sustain. As well as, some firms will see it as a significant factor of gaining societal acceptance for their operations. It is really true for the firms that they are running in remote areas, such as mining and gas and oil companies. They are usually encountered by many communities who were indigenously live there, and the firms have to live with these communities. Another way on CSR is that firms should see it as a voluntary activity rather than something that is highly regulated. As it is something to do that is good for the company, it’s not something the company has to do because of law or something else. On the other hand, companies should not be really forced to do CSR as forced action, as again, the development players are not just firm. They also include government as well as community itself and the civil society.