Corporate Social Irresponsibility (1000 words response in APA format with abstract and reference page)
Corporate Citizenship 4
Corporate citizenship
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Abstract
Various companies have different strategies which they use to promote a positive image and generate more sales. One of these strategies includes the inflation of the image of their corporate citizenship. This has successfully been used by some companies to increase more sales and promote partnership with the community. Giving donations to other projects in the community whose interest align with those of the company is also a good way to promote positive results and paint a good corporate image of the company. There is also the issue of whether or not it is ethical to promote pet projects by senior members of the company. This shall be discussed in detail below. Moreover, we shall also discuss the kind of projects that bring more revenue to the company as opposed to if a different approach was taken.
There are various reasons why companies may choose to inflate the image of their corporate citizenship. First, their main aim could be the provision of positive press releases. The company may also go for inflation of the image of their corporate citizenship with the aim of promoting a positive image not only to their current investors but also to their potential investors. Many companies are realizing the benefits of corporate citizenship. Therefore, they spend more time and money on advertisement and promotion of their corporate citizenship image. Some companies have reported positive results after using this strategy. Such include the generation of more sales. That said, most companies no longer shy away from using this strategy with the hope of promoting more sales and generating better results. Companies are spending more time promoting and advertising their corporate citizenship because they feel that having a positive corporate image will generate more sales (Tai, 2014).
Most companies nowadays have realized the benefits that come with serving the community – and giving back to the community. Besides promoting a positive corporate image, it is also a cheap way of free advertisement for the company’s products and services. However, directing the company’s donations to “non-profit groups whose interest closely align with those of the company could be a bit risky. This is because if there ever arises a conflict of interest, the company stands to lose a lot. Failed partnerships can at times interfere with the reputation of a company. If the company is new to the area, this can be quite challenging especially since a tarnished reputation can be a bit difficult to repair. In the case of a company that has been around for a while, they might have already established themselves and their good reputation might cover up for failures in other areas. However, this is not the case for a newly established organization trying to find its way through a new market (Newell, 2005).
In some organizations, it is normal for the senior managers to have their own pet projects which they run alongside the company. This can be a good thing since these projects can mutually benefit both the company and the senior management. However, if there is a conflict of interest between those of the pet projects and those of the organization, then this can be a bit challenging. The company needs to go back to the table and analyze their plan. They need to consider the projects which best serve the company’s interest and put in more effort in them. If this isn’t done on time, it could affect the overall performance of the company. As a student, my opinion is that it is better to save the whole company by getting rid of pet projects which are not beneficial as opposed to letting the small projects lead to the downfall of the whole company.
Budgeting a fixed percentage of pretax profits for corporate philanthropy is actually a more convincing way of committing to CSR. This is because it shows a great level of dedication to providing a fixed amount for CSR initiatives as opposed to selecting other projects that might have a conflict of interest or other projects that do not require as much funding as the CSR (Randy, 2011).
The question of donation and the role it plays on promoting an organization always arises at one point or another. Is there a direct relationship between how a company donates and its social responsibility? For example, does the fact that Target and General Mills donate five times more than the required minimum of 1 percent mean that they are 5 times more socially responsible? I think not. I strongly support their initiative to go the extra mile and donating more than the minimum required of them. However, this does not directly guarantee that they are 5 times more socially responsible. I personally think that social responsibility goes beyond a mere donation. It involves providing quality products and services to the community. Therefore, besides donating, Target and General Mills should ensure that they maintain a good social standing in their overall operations.
Conclusion
As discussed above, there are various avenues to which companies can generate revenues and promote sales. Some opt for advertising their products and services through the media. This is an all-time favorite for most organization because it always works as long as it’s done professionally and in the correct way. For an organization that is new in a particular area, participating in community projects is a good way to gain free advertisement. However, it is advisable to carefully select the type of projects your organization is associating with since in the case of a conflict of interest, the organization stands to lose a lot and this includes putting its reputation at stake. Every company knows that having a questionable reputation is always bad for business. Participating in the right kind of projects can actually create room for more partnerships that are mutually beneficial to the company or organization involved.
References
Van Marrewijk, M. (2003). Concepts and definitions of CSR and corporate sustainability: Between agency and communion. Journal of business ethics, 44(2-3), 95-105.
Newell, P. (2005). Citizenship, accountability and community: the limits of the CSR agenda. International affairs, 81(3), 541-557.
Randy Evans, W., & Davis, W. D. (2011). An examination of perceived corporate citizenship, job applicant attraction, and CSR work role definition. Business & Society, 50(3), 456-480.
Tai, F. M., & Chuang, S. H. (2014). Corporate social responsibility. Ibusiness, 6(03), 117.