Abstract

The concept of corporate citizenship as a form of corporate social responsibility theory challenged the traditionally accepted socio‐economic division of labor between government and corporations. Although the concept has been around for decades, its validity and applicability are still a matter of debate, with attention to the “chameleon” nature of the concept. Therefore, this paper defines and applies a conceptual framework to examine whether corporate social and political engagement is necessary and, if so, in what form it is beneficial for both the company and society. This is the objective of the present study. The method used in this paper is critical analysis, i.e. the evaluation of arguments both pro and con, and the comparison of these arguments with empirical evidence within the defined conceptual framework. The study shows that the demand for corporate activism is contradictory, so companies need to determine whose interests they represent or balance between different expectations. In addition to analyzing and evaluating corporate activism from a specific conceptual framework, the novelty of the study lies in its differentiated approach to corporate citizenship according to the scope of the companies and in the corresponding proposal for a new socio‐economic division of labor between governments and corporations.