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The objective of this paper is to examine how corporate social responsibility (CSR) practices of foreign multinational enterprises in China contribute to China's national priorities, by discussing the relationships between CSR and the building of a 'harmonious society' in China. This paper is based on personal reflections, extensive literature review, and 8 years of experiential field work in China by the author. Many CSR programs are found to superficially complement China's harmonious society policy. Only four exemplars out of 20 multinational enterprises surveyed are committed to fostering green growth, improving livelihood, developing outwardly into the west, and promoting a general integration of Chinese business into global markets through social innovations and collaborative projects. The paper posits that it is possible to use CSR as a change agent in China when enlightened public concerns are brought back to business operations through the involvement of non‐government organizations, local government, and local citizens and a greater degree of transparency of information. Copyright © 2014 John Wiley & Sons, Ltd.

The objective of this paper is to examine how corporate social responsibility (CSR) practices of foreign multinational enterprises in China contribute to China's national priorities, by discussing the relationships between CSR and the building of a 'harmonious society' in China. This paper is based on personal reflections, extensive literature review, and 8 years of experiential field work in China by the author. Many CSR programs are found to superficially complement China's harmonious society policy. Only four exemplars out of 20 multinational enterprises surveyed are committed to fostering green growth, improving livelihood, developing outwardly into the west, and promoting a general integration of Chinese business into global markets through social innovations and collaborative projects. The paper posits that it is possible to use CSR as a change agent in China when enlightened public concerns are brought back to business operations through the involvement of non-government organizations, local government, and local citizens and a greater degree of transparency of information. [Copyright John Wiley and Sons, Ltd.]

Based five year field work (2006-2011) in China, the author interviewed 30 Chinese executives from 20 different foreign multinational enterprises. Only two companies chose to practice more communication with their suppliers despite interests in operational efficiency. Exemplifying an alternative paradigm of managing sustainability based on thorough understandings through change of their organizational culture and relationships with their selected Chinese suppliers. Their commitment to sustainability in the global supply chain is due to the moral consciousness of their leaders and the persistence, compassion, and humbleness of their dedicated corporate social responsibility officers. There are five major barriers for managing sustainability in the global supply chain in China: seeking low cost and production efficiency; lacking internal alignments between commercial and responsible supply chain objectives; lacking incentives to practice procedural justice or develop trusting relationships with their suppliers in China in which there is weak legal enforcement system and civil society; easily bypassing many social and environmental responsibilities in China; and evasive compliance-oriented mechanism (i.e., monitoring, evaluating, reporting and sanctioning) over Chinese suppliers. Pursuing sustainability under the existing low-cost operational efficiency paradigm cannot overcome these five barriers. Managing sustainability in the global supply chain must be driven by the spirit of caring people and environment.