Globalization and offshoring influence CSR considerations by?

• A. Expanding risk exposure to diverse regulatory regimes, labor standards, and environmental practices
• B. Reducing regulatory oversight
• C. Ensuring uniform practices worldwide automatically
• D. Eliminating supply chain risk

Answer: (A)

Globalization and offshoring broaden the landscape of rules and expectations companies must meet. When production and sourcing span multiple countries, CSR must address diverse regulatory regimes, labor standards, and environmental practices. That expanded exposure means a company must implement robust due diligence, supplier audits, and governance that can accommodate different laws and norms, while striving for transparency across the supply chain. It also heightens the risk of reputational damage if any supplier falls short on worker rights, safety, or environmental protections, making proactive monitoring and continuous improvement essential. The idea that oversight would be reduced, uniform practices would automatically apply everywhere, or risk could be eliminated doesn’t fit reality; CSR must adapt to a mosaic of jurisdictions and standards to protect people, communities, and the company’s long-term value.