Corporate Social Responsibility as A profit Enhancing Tool for Businesses

Corporate Social Responsibility as A profit Enhancing Tool for
Businesses
Outline General Aims and Research Objectives
Aim
The aim of this respective research is, “To analyse the relationship between engaging
in CSR and profit-making incorporating businesses.”
Objectives
 To analyze the relationship between engaging in CSR and profit-making
incorporating businesses.
 To identify the different CSR practices that can be implemented by businesses.
 To understand the concept of corporate social responsibility for businesses.
Evidence-based background
CSR or corporate social responsibility is important for an organization because it helps it in
retaining its employees as well as attracting a greater number of customers. This is also
because the customers today, are more inclined towards brands that are environmentally
conscious and are focused towards giving back to the society (Dau, Moore and Newburry,
2020). CSR practices also foster a more productive environment for the employees and
thereby, creates a more productive as well as positive environment in the workplace. The
respective study will help the readers as well as different organizations to analyze the impact
as well as importance of corporate social responsibility for their overall success. There are
some studies which have been conducted and show that corporate social responsibility as
well as the performance of a business are related positively. Besides this, it can be said that
the respective study will help the readers in developing an understanding of the different CSR
practices that can be implemented by businesses.
Justification for the research
In the recent times, there has been an increase in the overall understanding among the
organizations about the concept as well as importance of corporate social responsibility. It
can be said that the respective study is of significance because it will help the readers in
enhancing their existing knowledge as well as the different organizations in the process of
developing effective strategies as well as informed decisions (Hickman, 2020). Many
organizations as well as businesses, operating on different levels are focusing more and more
towards implementing corporate social responsibility in their system. It can also be said that
the respective research is of importance because it will enable organizations to make

decisions that will help it in remaining competitive in the market. The study will also relate
the different CSR theories and provide evidence about how CSR can act as a tool for
maximizing the profits.
BACKGROUND OF THE STUDY
A company’s relationship or interaction with the society tends to grow when the company
takes on the position of a stakeholder in that society. This is manifested in the company's
corporate social responsibility activities such as philanthropy, environment, economic and
other social activities that tend to affect society positively. The customer in return tends to
show their appreciation of such activities through customer loyalty.
A business must relate with various stakeholders and entities in fulfilling its primary goal of
making profit. These relationships, positive or otherwise, tend to determine their bottom-line
and as such their continuous existence. Evidence suggests that there exists a positive
relationship between a business performance and corporate social responsibility and
concluded that ‘good ethics is good business’.
Significance of the research
In recent times, there has been an increase in understanding CSR and customer retention.
However, many of these studies failed to investigate the association between CSR and
profit-making incorporate business. The research is significant because it will establish if
engaging in CSR has any impact on the business objective of profit-making (Hickman,
2020). There is a difference in opinion as to whether a business is socially responsible to
society and if being socially responsible leads to profit-making and the carrying out of
corporate social responsibility. This study will benefit SMEs and aspiring entrepreneurs
because they will gain knowledge and approach to building relationships with customers
underpinned by CSR. Enabling them to make decisions to remain competitive in the ever-
changing business environment. Importantly, future researchers can utilize the information in
this study to conduct further research on this topic.
This research will connect various CSR theories together in establishing the fact that a
consumer’s behaviour can be influenced positively to affect the profit-making objective of a
business when that business is socially responsible to the community.
There have been theories that identified many outcomes of CSR as favouring to the
organization, but not many that show the psychological mechanisms that drive stakeholders’
responses to CSR activities (Bhattacharyu, Ketchum and Sen .2009), this paper aims to
expand the body of work on how the implementation of CSR programs generates value for
both the organization and the consumer.
This paper aims at establishing the fact that.
I. A positive brand value can be obtained by engaging in CSR, which can also
positively influence customer behaviour.

II. This research evaluates the relationship between CSR and customer retention and
satisfaction and establish if CSR achieve both or not
III. Investigate the link between CSR and customer-company identification.
IV. Show if there is a relationship between engaging in CSR and profit-making
incorporating businesses.
Research Question 1
Should business organisations undertake CSR programs
Hypothesis: corporate business organisations should be involved in CSR activities because
it portrays such organisations as stakeholders in the society.
Research Question 2
Is CSR a profit-making tool for business?
Hypothesis: CSR programs though carried as philanthropic or social programs and not profit
driven, tend to improve the brand value of the organisation which in turn positively reflects
the share value and profitability of such organisation.
SCOPE AND LIMITATION
As pointed out by Poloza and Sheng (2011) there are not many theories that show the
influence of corporate social responsibility as a tool in influencing the organization's brand
name and value. A positive brand image enhanced through CSR attracts customer’s loyalty.
Equally, this study will have various limitations. For instance, the researcher may find
challenges selecting the study sample because most individuals, especially those who are at
senior managerial position may be unwilling to participate (Saeed and et.al., 2021). Based on
theories, CSR can be perceived as being a relative concept since it responds to social desires
and demands which may vary from time to time. So, there is a possibility that the outcome of
this research work may stay the same or change with respect to CSR response to the
prevailing social needs of the particular age and time.
But there can also be certain limitations to this project, for instance, limited
availability of time as well as budget can pose limitations to conducting the project. Apart
from This, the researcher can also face challenges while selecting the sample for the study
(Saeed and et.al., 2021). This is because there can be some people within the sample who
might show resistance towards providing the responses to the questions. Also, there are
chances that the outcome of the research project can get affected.
G2 Research Activities