Corporate Social Responsibility and Business - Research Paper Example

Corporate Social Responsibility and Business Corporate Social Responsibility and Business Introduction Research Question What are the business issues that arise from corporate social responsibility? In normal circumstances, according to the research study of Banerjee (2007), a business does not subsist in isolation and it is not just a way of making money. This is because the people working in the business depend on it for their livelihood. Suppliers, the local community and customers, are affected by the actions that the business takes. The way the business produces the products and the impact of the product on the environment affect the environment either positively or negatively (Besser, 2002). To answer the research question, there is consideration of the actual meaning of corporate social responsibility which relates to understanding the impact of business on the wider world, and considering the positive impact of the business. Corporate social responsibility is a bottom line determiner of the operation of the business. This is because a business that demonstrates enviable traits receives more customers since the business has a social obligation to its customer, implying that if the business demonstrates appropriate social responsibilities to the community which is also the customers, then they will feel much welcome to purchase from the business. In the study work of Boeger, Murray and Villiers (2008), there is evidence that taking a responsible attitude and going beyond minimum legal requirement without considering the size of the business are vital for the success of the business. The study further demonstrates that following straightforward principles that apply to any business without considering the size is crucial for the welfare of the business. The research proposal takes into consideration the various forms of social responsibility and the bottom line impact on its success. Discussion Research Methodology For this topic, the research methodology comprises a comprehensive literature review, use of questionnaires during interviews and analysis of the outcomes. To understand the corporate social responsibilities, there is a need to interview the people around the business and interview the management regarding the impact of demonstrating social responsibility as seen in the study works of Collis and Hussey (2009). The interview would entail recording of the information on questionnaires consisting of two sections. One section comprises information from the community where most are customers of the business, while the other section would be the information from the business. Most of the information in the reading is sourced as evidenced in the research work of Farquhar (2011). Literature Review Information and Data Analysis From the interview, it is evident that working with the local community comes with its benefits. From the information and previous study work of Heald (2005), many businesses find host in local customers since they are vital sources of sales. To be able to recruit employees, there is a need by the business to improve its reputation since a good relationship with the authorities and the community as a whole makes the operations of the business easy. According to Horrigan (2010), most local authorities award contracts to businesses which have a record of involvement in the community. Some of information from the interview explains that getting involved with the community would be in terms of supporting local charity or sponsoring a local event. This helps to prove the expertise of the business and demonstrate the face of the business. The information received explains that many businesses involve their employees while working with the community. This is in support to the research conducted by Jackson, Ones and Dilchert (2012), which explains that some businesses will let the employees choose and do voluntary activities for the community and avail pay off time for their efforts. Information received from the interviews indicates that corporate social responsibility helps to cut costs and boost sales. Efforts in place to promote the social wellbeing of customers lead to improved reputation, motivated employees and stronger customer relation. The information reveals that 90 percent of employees who undertake in social activities for the business receive more motivation than the employees who choose to remain. The investigation further revealed that 95 percent of customers would prefer to purchase from the business which is socially responsible. In regard to the research by Kotler and Lee (2005), loyalty of customers increases the levels of purchasing. The research demonstrates that there are benefits that accrue to the business from corporate social responsibility. The research which is similar to the one done by Piepenburg (2011) states that publishing a business through social activities would play a vital role in winning contracts for the business. This receives support from Sarkar (2005) who explains that people would prefer to make purchases from businesses which they respect. Corporate social responsibility is effective for the business if it targets non-profit organizations, ethical companies and the public sector. In the long term, corporate social responsibility in respect of all the activities that the company does aims at improving the reputation of the business and encouraging customers and the rest of the stakeholders to get involved with the business. The study shows that working towards a management standard which can be used to publicize the social responsibility would be beneficial to the business in the long term. Since the corporate world and the business world face competition, undertaking in social activities would ensure that the business is different from the others and is able to stand out, leading to the reduction in the level of competition. On interviewing the community, some of the interviewees stated that most of the well doing businesses have been able to support the local community, thus gaining the firm will of the community. The interviewees who included local producers stated that getting support from the businesses motivates them to provide quality goods and services. The interview directed at the businesses, according to Schwartz (2011), demonstrated that working hard to minimize the impact of their activities on the environment through the use of solar panels for recycling and conducting regular litter collection played a considerable role in gaining the firm will of the business as a whole. The management also stated that packaging so as to ensure it is biodegradable, has a positive social implication on the business since the local authority dictates proper usage and disposal of the packages. The study also reveals that educating the local community on the importance of keeping the environment clean was crucial for the wellbeing of the business. Key Risks For businesses which do not demonstrate corporate social responsibility, there are consequences that relate to suppliers (Sims, 2003). The way a business chooses to deal with suppliers would be crucial since if the business chooses to trade with suppliers who do not have respect for the environment, the suppliers may pollute the environment and negatively impact the business though it does not contribute directly to pollution. There are risks arising from the employees where the business should do more than complying with legal requirements in regard to the way employees are treated. According to the research work by Visser (2005), the local community acts as a major risk for the operation of the business since if the community does not cooeorate in the process, the business may not be able to fulfil its obligation of being socially responsibility. This risk arises in case the local community gets involved directly in polluting the environment and blaming the business for the pollution. This would lead the business to retaliate, triggering social conflicts with the local community which is the customers of the business. The environment is a risk since there are environmental catastrophes which occur and pollute the environment within and around the business. This would not mean that the business takes responsibility, though the customers who are within the locality expect the business to provide a solution to the catastrophe. Conclusion The study on the corporate social responsibility would entail conducting an interview to get first hand information regarding the research topic; this consequently would imply that there would be ethical issues arising from the research. Ethical Issues According to Werther and Chandler (2011), ethics to incorporate in the research work include use of polite language during interviews, which characterizes personal ethics. This will enable the correspondent to feel comfortable and give out the necessary information. This ethic is crucial especially when dealing with uncooperative correspondents during the interviews. It is ethical for a researcher to ensure that they do not force information out of an individual; this may be through incentives such as money so as to get information from an interviewee. Using incentives to get information from an individual is not just unethical – it is unprofessional. A correspondent in the research process may give wrong information so as to get the incentive on offer; this would corrupt the purpose of the research. The reading by Banerjee (2007) gives the introduction which provides information regarding the topic under discussion including background information and information from previous studies. This information is notable since it helps to make a comparison on the current information and previous information by other researchers to make this research study relevant. There is a review of the literature work through the consideration of data and information from the research study, which plays a considerable role in bringing out the argument regarding to the corporate social responsibility of a business. The information in use is supported boldly, rendering the research proposal relevant. References Banerjee, S. B., 2007. Corporate social responsibility: the good, the bad and the ugly. Cheltenham [u.a.]: Elgar. Besser, T. L., 2002. The conscience of capitalism: business social responsibility to communities. Westport, Conn.: Greenwood Press. Boeger, N., Murray, R. and Villiers, C., 2008. Perspectives on corporate social responsibility. Cheltenham: Edward Elgar Pub. Collis, J. and Hussey, R., 2009. Business research: a practical guide for undergraduate & postgraduate students. Houndmills, Basingstoke, Hampshire: Palgrave Macmillan. Farquhar, J., 2011. Case study research for business. [S.l.] Sage Publications. Heald, M., 2005. The social responsibilities of business: company and community, 1900-1960. New Brunswick, N.J.: Transaction Publ. Horrigan, B., 2010. Corporate social responsibility in the 21st century: debates, models and practices across government, law and business. Cheltenham, UK: Edward Elgar. Jackson, S. E., Ones, D. S. and Dilchert, S., 2012. Managing human resources for environmental sustainability. San Francisco: Jossey-Bass. Kotler, P. and Lee, N., 2005. Corporate social responsibility: doing the most good for your company and your cause. Hoboken, N.J.: Wiley. Piepenburg, K., 2011. Critical analysis of Hofstedes model of cultural dimensions: To what extent are his findings reliable, valid and applicable to organisations in the 21st century? Munich: GRIN Verlag GmbH. Sarkar, C. R., 2005. Social responsibility of business enterprises. New Delhi: New Century Publications. Schwartz, M. S., 2011. Corporate social responsibility: an ethical approach. Peterborough, Ont.: Broadview Press. Sims, R. R., 2003. Ethics and corporate social responsibility: why giants fall. Westport, Conn. [u.a.]: Praeger. Visser, W., 2005. Business frontiers: social responsibility, sustainable development and economic justice. Hyderabad, India: ICFAI University Press. Werther, W. B. and Chandler, D., 2011. Strategic corporate social responsibility: stakeholders in a global environment. Los Angeles [u.a.]: SAGE. Read More