TITLE:
Ethical Dilemmas in Business: A Study of Corporate Social Responsibility in Family Business Succession
AUTHORS:
Seungyun Lee, Kwonsun Lee
KEYWORDS:
Corporate Social Responsibility, Creating Shared Value, Ethical Dilemma, Business Succession
JOURNAL NAME:
Open Journal of Business and Management,
Vol.14 No.5,
September
9,
2026
ABSTRACT: This paper investigates the role of Corporate Social Responsibility (CSR) and Creating Shared Value (CSV) in the context of family business succession. The authors propose a “Double Helix” framework to analyze how founders and successors align or diverge in their ethical philosophies, using case studies like Volkswagen, Patagonia, and Korean Air. Corporate Social Responsibility (CSR) is often dismissed as a cliché, with plentiful research and widespread corporate initiatives. Yet, the fundamental question—why businesses must embrace CSR—remains obscured. Critics argue that companies should prioritize corporate profit over social contribution, leading to an “ethical dilemma in business”. This paper delves into the essence of CSR’s true value and addresses why CSR often diminishes under successors. Key research questions include: What is the hidden value of CSR? How do CSR-active companies differ from non-CSR ones? How will the successor inherit and develop the founder’s CSR legacy for the better? How will the successor differentiate CSR from the founder? Why does CSR often falter under generational transitions? How do you create a proper outcome? How can CSR be institutionalized into corporate culture? To answer these, the research employs focus group interviews (FGI) with founders or CEOs of large, mid-sized, and small enterprises, supplemented by case studies and literature analysis. A double helix model is developed to systematically compare founders’ and second-generation leaders’ approaches to CSR. The paper argues that CSR is not merely a necessity but a transformative strategy. It proposes resolving the profit-contribution paradox by moving beyond CSR to CSV, Creating Shared Value. Unlike CSR, e.g., donations or harm mitigation, CSV integrates societal problem-solving into business models—turning social challenges into competitive advantages. The study argues that integrating CSV into the corporate mission is essential for ensuring sustainable leadership transitions and long-term competitiveness. This shift harmonizes profit and contribution, offering a sustainable framework for long-term value creation, both economic and societal value creation.