The Impact of Corporate Social Responsibility on Business Performance - Malte Kaufmann.Pdf Uploaded Successfully

Corporate Social Responsibility (CSR) is a very controversial topic. A question that has been debated for the past few decades is; is it corporately viable to introduce social responsibility as a proposed addition to the work ethic of business organisations. As well as, if adopting the framework of corporate social responsibility would yield positive improvements for those organisations.

I think Starbucks is so concerned with social responsibility in its overall corporate strategy because of its founder Howard Schultz. After reading about Howard Shultz it is clear to me that one of the reasons this company does so well is because of the high standards he holds himself and his company to. As a young boy he witnessed what his father had to go through in order to put food on the table for his family. He saw the struggles his dad had to endure while working for a company that did not put their employees first. (Ferrell, Fraedrich, Ferrell pg 400) It was for this reason that he has such a strong ethical position. Howard is a long-time advocate for increased awareness in business ethics. (Ferrell, Fraedrich, Ferrell pg 398). He gave a speech at Notre Dame in 2007 and spoke to the students about the importance of balancing profitability and social consciousness. (Ferrell, Fraedrich, Ferrell pg 398) It seems apparent that Howard is very concerned about the well-being of the employees, customers, environment and the community as a whole. According to Starbucks Website (2016) the core values and mission statement is as follows: “With our partners, our coffee and our customers at our core, we live these values” (Starbucks website 2016)

Corporate Social Responsibility is a philosophy that relates to a business being a part of the society, so acts in a way that not only advances its own firm but also serves the society as well. Good ethics is the cornerstone of sustainable development. In the long run, unethical behavior may harm customers and the society as a whole. Furthermore, it damages a company’s image, efficiency and effectiveness in operations. In some extreme cases, it may jeopardize the company’s survival. As a matter of fact, the behavior of a firm will be judged by the groups of the society. Their judgments and responses will have an impact on the performance of the

With employees placed at the top of stakeholder groups, it’s apparent that the hypothesis for high profitability is a direct influence from positive corporate social responsibility. The boards of directors have to take the initiative to showcase positive corporate social responsibility in order to generate these results.

The term ‘corporate social responsibility’ is still in popular use, even though competing, complementary and overlapping concepts such as corporate citizenship, business ethics, stakeholder management and sustainability are all vying to become the most accepted and widespread descriptor of the field. At the same time, the concept of corporate social performance (CSP) has become an established umbrella term which embraces both the descriptive and normative aspects of the field, as well as placing an emphasis on all that firms are achieving or accomplishing in the realm of social responsibility policies, practices and results. In the final analysis, however, all these concepts are related, in that they are integrated by key, underlying themes such as value, balance and accountability (Schwartz and Carroll 2008), and CSR remains a dominant, if not exclusive, term in the academic literature and in business practice. Just to illustrate how the concept is always evolving, CSR International, a non-profit organization, announced in 2009 the birth celebration of CSR International, an exciting new organization supporting the transition from what it called the ‘old CSR’ (Corporate Social Responsibility) or CSR 1.0 to the ‘new CSR’ (Corporate Sustainability & Responsibility) or CSR 2.0. Whether CSR 2.0 turns out to be substantially different

As a consumer, do you consider a corporation’s reputation before consuming their product? How often do you choose a product based on the corporation’s values and social responsibility? A corporation’s reputation is the overall estimation in which it is held by its internal and external stakeholders based on its past actions and probability of its future behavior (Harrison). The world economy is far more interconnected than it used to be and global corporations, especially, have more competition than ever before. Meanwhile, the internet and new technologies have democratized thought leadership and reputation, giving millions of consumers a voice in a corporation’s reputation and brand (Doorley, Garcia 2011). A company 's reputation and

After carefully examining different theories and case studies on the relation between corporate social responsibility and financial performance, evaluating and critically analyzing the topic was possible. Even though social issues have been questioned for years, yet only recently have it become a main issue that is usually addressed by companies and corporations (Ahen and Zetting, 2015). An increased demand in research on CSR has shown that some companies have reacted to this matter by investing more in corporate social responsibility as it increases competitive advantage (Crane and Glozer, 2016). CSR can be used as an aggressive business strategy and an efficient marketing tool in order to design and sustain a competitive advantage over competitors (Crane and Glozer, 2016). Corporations understood that in order to be able to function profitably and be competitive in a very competitive market they must

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.

Corporate Social Responsibility (C.S.R.) is a theory practiced in the business sphere since fifty years. It refers to the duty of business organizations to adopt certain activities that will benefit the society in some way. Charity, health-awareness campaigns are few examples that a business undertakes to fulfil its objectives of C.S.R. According to this ideal, it is important for various corporations today to undertake such social activities, apart from merely focusing on their objective of profit maximization. But, is it an obligation that is most important than other objectives of business? This thought further leads us to another significant question – In contemporary settings, should corporations be guided by the concept of C.S.R.?

As the CEO of a medium-sized business, my priorities are not just to help steer a profitable company but also to make it a positive and contributing member of its surrounding community. This is especially important for a company that specializes in the packaging and marketing of healthy, nutritious and convenient foods. Natural Gardens Food Products offers a wide range of pre-packaged healthy options for breakfast, lunch and dinner that are great for healthy eaters who are on-the-go. Though Natural Gardens is inherently involved in promoting various campaigns for making healthy lifestyle choices, there is a large area of opportunity for improvement in its service to the community. The discussion hereafter will consider these opportunities for better Corporate Social Performance (CSP) and the stakeholders that will be directly impacted.

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

We then match the IPO database with the CSR database. We gather CSR data from MSCI KLD 400 Social Index Database. This data set is the most comprehensive CSR database and is widely used in the literature (Agle et al., 1999; Chen et al., 2007; Griffin and Mahon, 1997; Hillman and Keim, 2001; Rehbein et al., 2004; Waddock and Graves, 1997). The MSCI KLD database provides social performance records for more than 3,000 publicly traded US companies across a range of dimensions covering business-related social performance parameters including corporate governance, environment, product quality, and employment practices (Chen et al., 2007). The MSCI database assigns strengths and concerns to each of these dimensions. Detailed

Corporate social responsibility is raising concern in recent years. It becomes a key issue for most companies and organizations. Corporate social responsibility is important in the sense that it has strategic implications for corporations in different industries. Previous studies about corporate social responsibility usually explore the relationship between corporate social responsibility and financial performance of a business. However, in this study, the relationship among CSR, Corporate Image and Brand Equity is focused. The company’s activities based on CSR have positive impacts on its corporate image. Also, the more CSR bore by a company, the more positive image the company would have; and both CSR and corporate image would affect the brand equity as a whole. The attempt of this study is to examine the impact of corporate social responsibility towards the operation strategies of McDonald’s. By applying the model of CSR and identifying the relationship among CSR, Corporate Image and Brand Equity, the effects of McDonald’s CSR strategies are projected. The theoretical relationship among the

Do corporate social responsibility (CSR) reports provide shareholders and stakeholders with useful information on corporate social and environmental performance or are they merely a public relations vehicle? Answer this question by reference to a variety of accounting theories.

Evaluating the measure of corporate social responsibility (CSR) is as much an attempt to ascertain ethical conduct of interactions with stakeholders, as it is a management tool of to limit liability. A research summary of Corporate Responsibility Best Practices, notes that 72% of NYSE Euronext traded firms surveyed have a formal corporate responsibility programs in place (Corporate Responsibility Officer Association, 2011, p. 6). Just 20% of the surveyed firms did not view corporate responsibility as a priority, while many firms believed that ethical corporate responsibility was ingrained throughout their culture and functions.