5000BUSRE: RESEARCH METHODS FOR BUSINESS | L’Oreal and Corporate Social Responsibility | PROPOSAL: To what Extent are the L’Oreal Group Socially Responsible, Specifically Concerning Animal Ethics? Is this Due to Consumer Preferences? | | Naomi-Louise Samuels (477083) | 4/16/2012 |
ABSTRACT: This paper is a proposal for a project which will inform and ultimately conclude the attitude to animal testing within the cosmetic industry. Research will consist of; an analysis of UK and International Law, including EU Policy; primary and secondary research on the awareness of the consumers; in depth research concerning CSR within the industry using the L’Oreal Group as the case study. The ultimate purpose of the research project
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This research will measure the affect CSR policy has upon potential consumers, ultimately effecting company turnover.
2.0 Literature Review:
2.1 What is Corporate Social Responsibility (CSR)?
Recently Corporate Social Responsibility has been defined as “a view of the corporation and its role in society that assumes a responsibility among firms to pursue goals in addition to profit maximisation and a responsibility among firm’s stakeholders to hold the firm accountable for its actions” (Werther & Chandler, 2011)
2.2 Theory and Approaches to CSR
Figure 2: Carroll’s Pyramid of CSR
There are arguments for and against the integration of corporate social responsibility within the business strategy and development. There are four social responsibility strategies which managers can enforce: proactive, adaptive, defensive, obstructive (in order of decreasing social responsibility).
Figure 2 depicts Carroll’s “pyramid of corporate social responsibility” (Carrol, 1991), it is a graphical representation of a hierarchy of responsibilities. Friedman argues that there is a trap which companies fall into, the limited managerial support for CSR is presented as an opposition to the profit motive, casting it as an addition to the existing methods of conducting business.
Embedding CSR within organisations is an approach to achieve business success in terms of the triple bottom line (Meehan,
Firstly, I would like to explain what Corporate Social Responsibility is. “It is a company’s sense of responsibility towards the community and environment (both ecological and
The purpose of this essay is to research the notion of CSR and uncover its true framework and outline what social responsibility truly means to corporate organisations, and whether it should be seriously considered to be a legitimate addition to the corporate framework of an organisation.
Corporate Social Responsibility are actions taken by a corporation that have positive and lasting impact for all stakeholders associated with the organization, seeking to strike a balance between profits and helping to establish lasting investment in the community (Carrol, 2015). In the 1980’s, then President Reagan challenged the business community to take on more responsibility to address social problems (Carrol, 2015). Socially responsible actions can benefit local communities as well as the greater societal good.
These statistics are daunting, and you may have previously read about the horrors of animal-testing, leading to brief feelings of guilt or sadness, but ultimately feeling unable to do anything significant in regards to making a difference carried on buying brands which test on animals. By choosing to buy cruelty-free brands you are effectively making a stand and saying ‘no’ to animal testing. This may seem inconsequential, yet what language is unanimous to the entire beauty industry – profit. By refusing business and stopping monetary flow to businesses until they agree to stop animal testing. In order to do so though you must also make the effort to become informed on what brands are and aren’t cruelty-free seeing as many prefer to keep the unfortunate truths of
Corporate social responsibility is an organizations’ impact on society that goes beyond what is ethical. Being socially responsibility, an individual in upper management must realize how the actions might be able to influence the rest of the environment. If a company is socially responsible the company is honest, trustworthy, and display integrity while dealing with others and provides the attention to the stakeholders, build a community by searching for goals that are compatible with and respect individuals and accomplish silent triumphs.
Many products that we use on a daily routine have been part of animal testing. Throughout the years this has become a problem that millions of people have been raising awareness for and trying to find a solution to end this cruel act. But is this enough? One of the most notorious users of animal testing is cosmetic manufacturers. Throughout the year 's many cosmetic companies have been trying to transition into using cruelty-free products. For example, Marla Donato from the Chicago Tribune states, "two of the largest manufacturers Avon Products and Revlon recently announced a permanent end to all animal testing by their companies. Mary kay announced a temporary moratorium on practice, and Procter and gamble unveiled a $450,000 grant program to investigate alternative research methods (Donato par.1)."
(CFHS, 2014) L’Oréal Canada should work hard to ensure that all of our manufacturing faculties comply with the standards of CCAC so that our faculties can be certified for good animal practices as well. It is important that our researchers and manufacturers find alternative methods to animal testing, and only resort to the use of animals when all else fails. If there is no option but to use animals for the testing of cosmetic products, the number of animals used should be minimized, and pain and discomfort for those animals should be reduced as well. This is how the implementation of the three R’s of ethics should be used with regards to animals in research so that we have good business practices and consumers will be more willing to purchase our products.
Corporate Social Responsibility (CSR) is something that affects all companies and should be an active factor in the company’s decision making. It is something all corporations need to care about. CSR is when business’ or corporations take part in an initiative or campaign for a cause that will benefit society and/or in some way make the world a better place (Taylor, 2015). Initially, Corporate Social Responsibility started to take shape around the 1950’s, but some say that it dates all the way back to the 1800s, the idea of CSR was seen (Carroll, 2007). One may think that because it is dated so long ago, it doesn’t have an important impact today nevertheless, it is proven that Corporate Social Responsibility is a pathway for entities to self benefit as they are in the process of benefitting society.
The company came out with a quote to defend themselves by saying “L’Oreal no longer tests on animals, anywhere in the world. Nor does L’Oreal delegate this task to others. (L’Oreal).” Anyone reading this would assume that they’re no longer actually testing on animals. However, if one were to dig deeper and look into what this statement actually means, you would find out that the company also admits to being liars, without actually saying it. L’Oreal claims “An exception could be made if authorities required it for human safety or regulatory purposes.” L’Oreal was okay with funding animal testing of their products in China, where this is still considered acceptable by law to do. However, what
In this article, “The Truth About CSR,” authors Rangan, Chase and Karim stress the importance in aligning a company’s social and environmental activities with its business purpose and values (Rangan, Chase, & Karim, 2015, 41). Outcomes of CSR programs should be a “spillover” and not a primary focus of a business, expressing concern towards social responsibility and corporations failing to contribute to society accordingly (Rangan, Chase, Karim, 2015, 42). There is a great deal of importance in companies refocusing their CSR activities on a primary goal and in providing an organized process for bringing consistency and discipline to CSR strategies (42). Rangan, Chase and Karim want corporations to understand why it is important for them to evaluate their CSR activities and refocus them towards the goal of reinforcing the firm’s societal and environmental actions, while also ensuring their actions add to the overall purpose and values of the corporation. According to the authors, even though
The benefit to business of good Corporate Social Responsibility is difficult to quantify as it varies depending on the nature of the enterprise. Some scholars believe that there is a business justification for CSR. That is, what is good for the environment and society will be good for company profitability. And studies have shown a slightly positive correlation between CSR and financial gain (Steiner and Steiner, 2006). However, as Freidmanism claims, the first responsibility of business is to make enough profit to cover the costs for the future. If this social responsibility is not met, no other responsibilities can be (Hargreaves, 2006). Therefore it is critical that CSR activities are included in strategy formulation and that the level of resources devoted to CSR is determined like any other strategy through cost/benefit analysis. Corporations will not throw money away they need to see it
Corporate social responsibility has been one the key business buzz words of the 21st century. Consumers' discontent with the corporation has forced it to try and rectify its negative image by associating its name with good deeds. Social responsibility has become one of the corporation's most pressing issues, each company striving to outdo the next with its philanthropic image. People feel that the corporation has done great harm to both the environment and to society and that with all of its wealth and power, it should be leading the fight to save the Earth, to combat poverty and illness and etc. "Corporations are now expected to deliver the good, not just the goods; to pursue
Corporate social responsibility is the voluntary stance or set of actions from a corporation that demonstrate a contribution to a better society and a cleaner environment. Corporations are already required to operate within the law, but laws do not always protect all people or individuals who will be affected by the corporation’s actions. In addition to this, it is very common for special interests to play a part in legal decisions through lobbying efforts, so it is assumed to be an additional effort for a corporation to be socially responsible. Being socially responsible essentially comes down to being considerate and calculated in the decision making process, paying attention to the consequence of every action. In the ethical decision making model, there are two particular steps that I believe to be of greater importance than the others. The first would be that of
4. “CSR is only relevant for large private sector companies.” Critically discuss providing examples from SMEs, the public and civil sectors.
CSR can improve the company’s reputation and branding and this in turn improves the prospects for the company to be more effective to attract new customers and increase market share.