How stakeholder theory linked with Corporate social resoponisiblty IN TESCO - Essay Example

BUSINESS AND STAKEHOLDER THEORY by Introduction In many decades, there has been a major debate on the shift of the marketing theory and practices to relations in marketing which regards business as a coalition of many stakeholders.This stakeholder theory indicates the particular participants from the business environment that contribute to the major success of the business. This has been highlighted in the summary of the stakeholder theory diagram shown (Crane, 2008). The theory is applied in the management of the organization and also the ethical aspects within the business.

The ethical aspects address the morals within the business premise so that the image of the business organization is upheld. The theory gives a strategic approach to the groups that are stakeholders in the business and the recommendations that can contribute to the health co existence of these groups with the business (Blowfield and Murray, 2011).Tesco is an organization that is the marketing agent and forms part of the stakeholders’ theory. It is related with CSR in that it is included in the annual reports given to CEOs and it defines the terms and policies of the firm for the purpose of integrity of the firm (Louche, Idowu and Leal Filho, 2010) Investors on the other hand give the capital to the company and also get ready market for the products and services.

Each of these groups has a big role to play in the business cooperate. Hence there is need for a health co existence with these groups with the business. Blattberg who is a philosopher argues that stakeholder theory assumes the interests of stakeholders but a compromise can be made on these groups upon close considerations (Simpson & Taylor, 2013).Critically thinking, tesco, CSR and the stakeholder theory are inseparable in terms of performance and functionality. Hence a breakdown in any of the three, that means poor business performance.

ReferencesSimpson, J., & Taylor, J. R. (2013). Corporate governance, ethics, and CSR. London, Kogan Page. Crane, A. (2008). The Oxford handbook of corporate social responsibility. Oxford, Oxford University Press.Blowfield, M., & Murray, A. (2011). Corporate responsibility. Oxford, Oxford University Press.Louche, C., Idowu, S. O., & Leal Filho, W. (2010). Innovative CSR from risk management to value creation. Sheffield, UK, Greenleaf. http://search.ebscohost.com/login.aspx?direct=true&scope=site&db=nlebk&db=nlabk&AN=525 541