1.1.1 The Lisbon Strategy

As a response to globalization and to the low productivity, and competitiveness of the European economy, on 24th of March of 2000 the European Union (EU) heads of state and government adopted the Lisbon Strategy. The Lisbon Strategy states that “The Union has today set itself a new strategic goal for the next decade: to become the most competitive and dynamic knowledge-based economy in the world, capable of sustainable economic growth with more and better jobs and greater social cohesion.”1 To achieve this ambitious goal and to move the EU out of recession, the strategy in the EU programme of reform provided ambitious targets for the environment, social protection and the economy. The targets were set in four key areas: i) investing in people; ii) research, development and innovation; iii) more dynamic business environment and iv) to develop a greener economy. Amongst the specific targets were the stimulation of growth, investment in people, research and development, creating more and better jobs, providing easier access to credit, making the economy greener and more innovative, to promote energy efficient and clean (environmental-friendly) technologies, and achieving sustainable environment. The strategy focused on growth and jobs and only a little part of the Lisbon Strategy directly addressed Corporate Social Responsibility (CSR).

At this point the Lisbon Strategy was to be implemented introducing a new method, the Open Method of Coordination (OMC). The OMC was developed together with the European Council, to ensure a “more coherent strategic direction and effective monitoring of progress.”2