Issues and Benefits of Adopting Corporate Social Responsibility in Retail Sector: A Study on Mark and Spencer's

SUMMATIVE PROJECT

TABLE OF CONTENTS
TOPIC..............................................................................................................................................3
INTRODUCTION...........................................................................................................................3
Background of the study..............................................................................................................3
Research aim and objectives........................................................................................................3
Research Questions......................................................................................................................4
Problem statement.......................................................................................................................4
Rationale......................................................................................................................................4
LITERATURE REVIEW................................................................................................................4
Theme 1: Understanding the meaning of CSR............................................................................4
Theme 2: Issues and challenges with CSR for retail sector.........................................................6
Theme 3: Advantage of adopting CSR practices.........................................................................8
Primary and secondary research..................................................................................................9
Critically review of research result............................................................................................15
Recommendation and Action plan.............................................................................................18
CONCLUSION..............................................................................................................................21
REFERENCES..............................................................................................................................23
APPENDIX....................................................................................................................................25

TOPIC
To evaluate issues and benefits of adopting corporate social responsibility within an
organization in context of retail sector- A study on Mark and Spencer’s.
INTRODUCTION
Background of the study
Corporate social responsibility (CSR) are practices that are undertaken by the organisations
to create positive influence on world. Firms have responsibility to do good for the society and to
move forwards towards sustainability in order to reduce the carbon footprints from their
operational tasks (Rashid and et.al 2020). CSR means that company must require to be self-
regulate their actions and approaches to become more socially accountable to their different
stakeholders, environment. CSR plays a significant role in developing the organisational brand
perception, attractiveness to the consumers, workers and investors and give overall successful
image to the business. There are four type of approaches which the company can proceed with
which are to begin with environmental initiatives, community work, volunteer work and ethical
practices for the labours. However, there are many firms who faces problem in implementing the
CSR in their business functionalities.
Following project highlights the study on Mark and Spencer company a British
multinational retailer company, headquarter is present in London, England. They offer good
range of products and services to their customer. Following project covers the research
methodologies, literature reviews and aims or objectives of the study that helps in developing the
understanding about the CSR values.
Research aim and objectives
Aim
The aim behind conducting current research is to determine the issues and benefits of
corporate social responsibility within the Mark and Spencer’s.
Objectives

 To develop an understanding about the concept of corporate social responsibility.
 To analyse various issues and challenges of CSR practices within the retail sector.
 To evaluate certain benefits of adopting corporate social responsibility within Mark and
Spencer’s.
 To recommend strategies that enable the M&S to resolve corporate social responsibility
issues.
Research Questions
1. What is the meaning of corporate social responsibility?
2. What are the CSR issues and challenges faced by retail sector?
3. What are the benefits of adopting CSR practices by Mark and Spencer’s?
4. What are appropriate recommendations in context of strategies to adopt in order to handle
CSR issues?
Problem statement
Issue has been identified that company is facing problem in adopting the CSR value as it is
difficult as environmental management, stakeholder’s engagement, human rights and so on
creating major challenges for the organisation. As involving CSR is itself a biggest challenge for
which the company require proper commitment and strategy to get benefit of it to smoothly run
their business.
Rationale
Rationale behind conducting research on this topic is to bring concern about CSR in context
with the M&S organisation. This study will help in fulfilling the loop holes which is found in
previous study (Lu and Wang, 2021). This topic is becoming a major issue which the businesses
are concern with also lack of participation from communities in such also a barrier. Therefore, it
is important to have detailed information regarding topic to analyse its benefits and challenges
associated with it.
LITERATURE REVIEW
Theme 1: Understanding the meaning of CSR
According to the Yoo and Lee, (2018) CSR refer as the international private business
regulations that mainly aims to contribute towards the society and to account the responsibility to

reduce the environmental impact and promote good development in community. Its goal is to
activate the charitable nature by engaging people and supporting various volunteer program or to
practices the code of ethics. It plays a significant role for the organisation to provide the benefits
in terms of longer productivity and potential customer base, where the businesses play their
social responsibility to help community for the development and also follow some measure to
control the pollution that are created by their operational tasks. It enables the businesses to
embrace the CSR for becoming environmental friendly and encourage the equality and diversity
at the work place to ensure the ethical and efficient business decisions. However, author Kim and
et.al (2020) said that implementing CSR within businesses cost more as lack of resource
availability which involve the human capitals, knowledge, finance resources plays a role of
barrier to implement such practices. Lack of strategic mission and vision is another factor that
hinders CSR implementation, as proceeding with CSR involves the major control of the
processes which are working conditions, environmental, to prevent corruption, basic human
rights. Thus all requires a proper strategy to begin with in order to incorporate with CSR
practices.
Author Kucharska and Kowalczyk, (2019) stated that major purpose of CSR is to
encourage the employee engagement, as if the businesses are more socially responsible then the
greater engagement within workplace is found that guide in achieving the sustainable goals and
objectives. Businesses have the dedicated CSR team that concentrates on charity work, to raise
the fund various programs are conducts with the aim of involving the workforce towards the
societal work. Such activities help in boosting the morale of employee and develop meaning for
them outside of their work as well, it helps in mental wellbeing of the employees. Thus various
charity programs held by the businesses helps in guiding the community towards development
and their betterment, it develops the better relationship between community and organisation.
Author also said that it helps the businesses in improvising their brand image, as it is found that
almost 87 percent of the customers in UK market expects from the organisation to concern with
the societal impact, thus 70 percent of the people prefer buying from such organisation who are
socially accountable. Therefore, it helps in building the better and efficient brand image which
helps in driving the good revenues for the business as well as promote the better cash inflow in
the market.

However, author Wang, Lo and Lam, (2020) argued that It become more challenging for
the businesses to begin with such strategies, for this they have to undertake major changes and to
make their team to be more socially responsible and reduces the wastage and lay out the best
utilisation of the resources. as to often go green with the product packaging requires a lots of
investment which can give lots of pressure over the financial resources. better workforce team is
also required to adapt the change and to make the desired sustainable goals achievable for their
organisation. It is also important to look into the business values, visions and missions to identify
which initiatives can be best align to the business objective and culture. CSR generally makes the
businesses to stand out and to develop the better socially conscious reputation as it is clearly
identified that stakeholders usually prioritize the CSR for selecting the certain products in the
market. Furthermore, firms involve the CSR for the ethical purposes as far from the strategic
perception CSR helps in enhancing the profitability rate. It also helps in developing good relation
with the public and with the use of high ethical standards businesses will be able to reduce the
chances for the legal risks by undertaking the certain corporate actions.
Theme 2: Issues and challenges with CSR for retail sector
As per the view of Yadlapalli, Rahman and Gunasekaran, (2020) along with various
benefits with the CSR there are some challenges and issues associated with it. Initial challenge is
that businesses only shows their duties towards the shareholders. It is found that more often
consumer confuse with the business goals and objective with their CSR concept, it is said that
sole interest of the businesses is only limit to the stakeholder interest. Moreover, anything which
done against it refer as violation of the business fundamental principles in result it does not
consider by the community. Therefore, it is important to implement the CSR with better vision
and goals. Another challenge is failure of consumers to identify the business through CSR, as it
is analysed that certain activities and programs that conducts by the organisation helps the
community but sometime it is negligible by the community. Also the amount of input that is
provided by the business in result they do not get the estimated output. In contradict with above
statement author Yucel, (2018) said that CSR helps the businesses as well as it benefits the
society as CSR promotes the value driven for both community and organisation. Author also said
that businesses not mainly aim for their benefit only they support community for not only their
own benefit but with aim to help community in their development, thus it does not matter what
output they will get in return by supporting community.