Abstract
As the global economy becomes more interconnected, companies face close scrutiny from their stakeholders who expect not only to receive the best financial performance but also demand that a firm is environmentally and socially responsible. As a result, many firms now integrate elements of sustainability into their core business strategies in the form of corporate social responsibility (CSR) programs that maximize long-term economic, social, and environmental values. In this chapter, we argue the concept of Buen Vivir that aims to define quality of life by more than material belongings and emphasizes on the interdependence between society and nature resonates with the practice of CSR as they both try to balance societal needs with sustainable natural systems. Drawing on neo-institutional theory, we argue the institutional environment affects corporate responsibilities to society and consider how industry response can either be through reactive CSR business strategies based on crisis prevention or proactive CSR that links both market and public policy to address global concerns. Analyzing Buen Vivir as a paradigm change for sustainability transition, we take a multilevel analytical approach to the firm, industry, and national levels. We compare the sustainable business practices implemented within electricity generation, metallic mining, and shrimp aquaculture industries to illustrate how Ecuador transitions to a post-oil society based on Buen Vivir. Finally, we find that Buen Vivir has exercised little influence on export-oriented industries and recommend more commitment from the government in communicating a sustainability vision that is consistent with long-term sustainability that meets large societal goals as those related to Buen Vivir.