Corporate Social Responsibility: Role and Importance in the Present World

This report discusses the role and importance of corporate social responsibility (CSR) in the present business world. It highlights the benefits of CSR activities for organizations and the society. The report also provides examples of how companies like Nike, Coca Cola, and Qantas are using CSR as an innovative strategy to attract more customers and create a positive image in the community.

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Corporate Social Responsibility
Introduction
CSR or corporate social responsibility is considered as the ethical responsibility which is
being played by the organizations in present business world. From business point of view,
CSR activities are linked with the aim of long term profit by gaining the trust of the
community in which organization is currently operating. In addition, it is also linked with the
objective of creating positive public relationships with the help of using ethical standards in
the business operations (Lins, Servaes and Tamayo, 2017). CSR is the activities which are
focused on the welfare of the society by bonding the organization to take active role in this
process. But as per business market in present time, CSR activity it not sufficient for
organizations to create a profit in fact it impacts their profit margin because the capital which
they are investing on CSR activities are taken from profit margin of the organizations. CSR
activities motivate the organization to maintain a positive work environment within and
outside the organization which helps them to develop a positive image in the business market
(Saeidi et al., 2015). Image of organization is connected with the entire stakeholder such as
employees, stockholder and therefore any negative activity can impact the performance of
the organization directly.
Role of corporate social responsibility in the present world
Corporate social responsibility means that organizations are bond to take necessary steps
which ensure the positive social and surrounding links with the business operations which
has directly impact on the stakeholders of the organization. CSR plays a very important role
in maintaining ethical culture in the workplace of the organization by encouraging employee
to keep them connected with social and ethical activities (Flammer, 2015). In addition, CSR
activities also motivates employees to inform the management of the organization to keep
informing about unethical practices going on in the organization setting. CSR activities act as
brand building for every organization in the business market on the global level by promoting
positive message in the society that particular organization is very concern about the
improvement of the society. One of the best examples is Nike organization in which CSR
strategy plays very active role related to water usage and purification. As per the study, it has
been found that water purity and reducing water level has become one of the major issues on
the global level. This issue is being understood by Nike organization and therefore they have
focused their interest reducing water footprints in their business operations (Khan, 2017).
Under CRS activity, Nike organization has introduced water reuse in their all plants in order
to maintain the water ground level in the society in which they are operating. It has been very
common that most of the water wastage happens in the manufacturing operation. In this
situation, Nike organization has used innovative technology which has helped them to

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recycle their used water and make them useful for consumption. In addition, CSR strategy
has made Nike organization to focus on social issues which are related to the individual
development. Current, Nike Company has started a future leadership program related to the
American African individual to offer them skills which are essential for their personal and
professional development. This program also promotes social equality in the community by
developing positive environment in the community (Nike, 2018).
Another best example is Coca Cola organization which under CSR strategy has establishes a
water based community program which is focused on offering healthy water for the
community in which they are operating on the global level. CSR strategy has forced the Coca
cola organization to maintain a water balance in all their production houses. Water based
community program involves watershed, provide drinking water in the though society which
are not able to fulfill their basic needs such as pure water, healthy food and so on (Jones and
Comfort, 2018). In addition, under CSR activity this company has established a partnership
with many social organization which are dedicated to environment protection just like
Wildlife fund, Ocean conservancy and so on. The purpose of this partnership is simply to
provide environment safety to the world along with animal protection because they also have
right to life in safe and protective environment.
Development and growth of business market has increased the rate of pollution on the global
level. In this situation, CSR strategies act as protection system which forces the organizations
which are operating in the business market to bring necessary changes by which they can
offer protection to their surroundings (Qantas, 2016). Quanta’s organization which is
considered as one of the biggest airline organization in the service industry has also
recognized the important of environment protection and therefore is working on new
technology in order to reduce the carbon foot print release on the environment through their
business operations. CSR strategy has helped Qantas organization to shift their interest
towards use of renewable resources as mean source of power from non-renewable resources.
Corporate social responsibility strategy is actually a belief in the organization that they have
continuously used community resources for their personal benefit and now it is the
organization time to give back to the community in the form of CSR activities which can be
related to health, food, offering drinking water or building shelter for the individual which
are living below poverty line (Wolfe and Blithe, 2015). One of the most important aspect
related to CSR activity is that understand this strategy man organization are covering free
education program of for the young individuals of the society. Educational is always
considered as one of the most powerful tool in the hands of the human by which they can
transform their present in to improved future. In this activity, Microsoft plays one of the
major roles in offering free education under the Bill and Melinda foundation (Morris, 2017).
This education support has offered great opportunity to the youths to improve their life by
attain essential skills which can transform their professional life. CSR strategy helps the

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organizations to maintain their competitive position as compared to other organizations
which are operating in the same business market.
Conclusion
Organizations are continuously blamed by the community for exploiting the resources of the
community for their personal interest which has created negative impression of the
organization in the community. This negative image has impacted the sales of the
organization which are directly linked with the revenue of the organization. In this situation,
CSR strategy plays very significant role in creating positive impression of the organization in
the business world. In addition, CSR activities offer great benefit to the society in terms of
health, education, offering pure water to the community. CSR activities also help the
organization to cover all those aspects which can offer direct or indirectly protection to the
community in which they are functioning. Various organizations such as coca cola, Nike,
Qantas and so on are using CSR activities as one of their innovative strategy to attract more
customers towards their company by creating positive impression of the organization in the
community. In addition these activities also help the organization to create ethical work
environment for their employees in order to improve their performance.

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References
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Flammer, C. (2015) Does corporate social responsibility lead to superior financial
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2568.
Jones, P. and Comfort, D. (2018). The Coca Cola Brand and Sustainability. Indonesian
Journal of Applied Business and Economic Research, 1(1), pp.34-46.
Khan, M.I. (2017) International buyers requirement under wto agreements. Pakistan Business
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Lins, K.V., Servaes, H. and Tamayo, A. (2017) Social capital, trust, and firm performance:
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Morris, L.V. (2017) Foundations and the advancement of postsecondary
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Nike. (2018) How Nike’s Future Varsity Youth Leaders Are Making a Positive Change in
Their Communities [online]. Available from: https://niachantal.com/how-nikes-future-
varsity-youth-leaders-making-change/ [Accessed 13/8/19].
Qantas. (2016) Qantas sustainable report 2016 [online]. Available from:
https://www.qantas.com.au/infodetail/about/corporateGovernance/2016AnnualReport.pdf
[Accessed 13/8/19].
Saeidi, S.P., Sofian, S., Saeidi, P., Saeidi, S.P. and Saaeidi, S.A. (2015) How does corporate
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