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Corporate Social Responsibility in the Global Logistics Industry - Term Paper Example

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The author states that major players in the global logistics industry align their CSR initiatives to their corporate strategy. UPS, FedEx, and DHL all have different levels of activity on these issues. In a capitalist economy, investment decisions are taken to increase company value. …
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Corporate Social Responsibility in the Global Logistics Industry
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Download file to see previous pages The European Commission (2001) defines CSR so that it incorporates social, environmental and economic aspects: CSR is a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis." (European Commission 2001)
Companies like UPS, FedEx, DHL and a large number of other multinational and smaller organizations are beginning to, or indeed already have taken the concept of Corporate Social Responsibility (CSR) very seriously.
The logistics and transportation sector plays a positive role in the economic development of societies, spreading opportunity and acting as a backbone for global development and communication, as well as contributing to communities.
However, this sector also faces some strong emerging challenges to its perceived social responsibilities. The core business of this industry's direct relation with major sustainability issues such as environmental impact, traffic congestion, energy waste, safety and security, and sustainable infrastructure, put logistics firms under the careful inspection of various stakeholders.
There is a group of consumers who consider CSR in their purchasing decisions (Mohr Webb Harris 2001 p 45). 0ver the past few years, socially responsible consumers have been studied in relation to boycott behavior (e.g. Klein 2003 p10 ) and cause-related marketing (e.g. Polonsky 2001 p8) and it has been found that "negative CSR associations can have a detrimental effect on overall product evaluations, whereas positive CSR associations can enhance product evaluations" (Brown and Dacin 1997, p. 80).
Recent surveys in Europe, the U.S. and Australia also suggest consumers do consider CSR policies in their purchasing decisions.  ...Download file to see next pagesRead More
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