Corporate Social responsibility is a successful element in corporate sector now. The recent CSR activity is no longer an investment criteria for the firms but an marketing tool for the sustainability of the firm in the long run. The strategic CSR activity is the key element for the corporate sector in order to shoulder the ethical responsibility for the society as the firm operates in the society. There are many issues and challenges for the corporate sector in order to overcome the CSR activity. Most of the firms are interested to protect the shareholders benefit through CSR activity. Customer value and society wellbeing should be the objective of every CSR activity in our country. Now it is mandatory on the part of the organizations to spent 2% to 5% of their net profit in CSR activity every year. This article aims to highlight some of the conceptual features of CSR and some of the theories of CSR and at the same time analyze some of the issues and challenges faced by firms while operating CSR activity.