Barriers to the Creation of Social Value: Perspectives of Multinational Enterprises

Abstract

Multinational enterprises (MNEs) are increasingly expected to create social value through environmental, social and governance (ESG), corporate social responsibility (CSR), and equality, diversity and inclusion (EDI) initiatives. This study identifies the barriers most frequently discussed in the literature, examines their practical relevance, and explores how MNEs can address the barriers that concern them most. A review of 37 sources produced 20 barrier categories, which were compared with evidence from five focus groups conducted in five MNEs. Three recurring practical barriers emerged: perceptions of greenwashing, misunderstanding of the concept of social value, and differing generational views on social value creation. All three ranked outside the ten barriers most frequently discussed in the literature, revealing a gap between academic attention and organizational experience. The study also distinguishes internal social value, which concerns employee well-being and organizational culture, from external social value, which concerns customers, suppliers, communities, society and the natural environment. A complementary generational pattern emerged: younger employees often press for faster and more ambitious action, while older employees and managers use their experience, authority and organizational knowledge to put initiatives into practice. The findings indicate that MNEs can strengthen social value creation through transparent communication, alignment between claims and actions, a shared understanding of internal and external social value, and sustained cross-generational dialogue.