abstract

Government rules have emerged as a factor influencing Corporate Social Responsibility (CSR) particularly in developing countries like India, where CSR is enforced by the Companies Act, 2013. This research explores the role of government regulation in shaping the connection between governance, stakeholder engagement and the execution of CSR, in the Fast-Moving Consumer Goods (FMCG) industry situated in the Baddi-Barotiwala-Nalagarh (BBN) industrial area of Himachal Pradesh. Drawing on a survey of 120 CSR professionals and managers complemented by qualitative insights from interviews and secondary CSR documentation this study offers empirical proof that corporate governance and stakeholder involvement considerably impact CSR results. Crucially government regulation amplifies these effects suggesting that institutional pressure is a factor in directing CSR conduct within industrial clusters. The results highlight the role of policy frameworks oversight systems and compulsory CSR mandates, in improving the strategic impact of CSR programs. This study contributes to CSR literature by offering sector- and region-specific evidence and highlights the need for coordinated government–industry–community approaches to sustainable industrial development.