Corporate Social Responsibility and Business Growth: The Nike Case

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This report examines the impact of Corporate Social Responsibility (CSR) on Nike's business growth, providing a detailed analysis of the company's CSR initiatives and their effects. The study delves into the concept and models of CSR, exploring the benefits and drawbacks associated with CSR activities and assessing the integration between CSR and business growth within Nike. The research employs both primary and secondary data, including survey questionnaires and literature review. The report highlights Nike's efforts in areas such as sustainable innovation, carbon footprint reduction, and ethical practices, addressing controversies and challenges faced by the company. The findings underscore the importance of CSR in achieving sustainable business practices, enhancing brand image, and contributing to social, economic, and environmental development. The report concludes with recommendations for Nike to further leverage CSR for continued business growth and competitive advantage. The study emphasizes the need for companies to integrate CSR policies and activities to achieve growth and competitive advantage. This report, available on Desklib, provides a comprehensive analysis of the topic.
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CORPORATE SOCIAL RESPONSIBILITY AND
THE IMPACT ON BUSINESS GROWTH: A CASE
ON NIKE
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TABLE OF CONTENTS
ABSTRACT.....................................................................................................................................3
ACKNOWLEDGEMENT...............................................................................................................5
CHAPTER 1: INTRODUCTION....................................................................................................6
1.1 Background of study..............................................................................................................6
1.2 Overview of the organisation.................................................................................................8
1.3 Aim, Objectives and Questions..............................................................................................8
1.4 Rationale of study..................................................................................................................9
1.5 Significance of Study.............................................................................................................9
1.6 Scope of the study..................................................................................................................9
1.7 Structure of Dissertation......................................................................................................10
CHAPTER 2: LITERATURE REVIEW.......................................................................................12
2.1 Introduction..........................................................................................................................12
2.2 Concept of CSR and model of CSR.....................................................................................12
2.3 Benefits and drawbacks link with CSR activities of the firm..............................................17
2.4 Integration between CSR and business growth...................................................................20
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................25
Introduction................................................................................................................................25
Research Philosophy..................................................................................................................25
Research approach ....................................................................................................................26
Research type ............................................................................................................................26
Sampling....................................................................................................................................27
Data Collection..........................................................................................................................27
Data Analysis.............................................................................................................................28
Reliability and Viability.............................................................................................................29
Ethical consideration..................................................................................................................29
CHAPTER 4: RESULTS AND FINDINGS................................................................................30
CHAPTER 5: DISCUSSION.........................................................................................................48
CHAPTER 6: CONCLUSION AND RECOMMENDATION....................................................53
Recommendation.......................................................................................................................55
REFERENCES..............................................................................................................................58
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APPENDIX ...................................................................................................................................63
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ABSTRACT
Corporate social responsibility is an emerging aspect of business work which governs
responsible business practices. CSR focuses on managing sustainability in three aspects that is
economic, social and environmental. Corporate sustainability is a type of self-regulation which
governs activities of international private business. In accordance with CSR policies and
practices, it is important for the organisations to focus on direct philanthropic giving, economic
responsibility, sustainable initiatives and ethics business practices. The study was specifically
focused on outlining impact of corporate social responsibility on growth of business that is Nike.
Nike is an American multinational corporation which is engaged in the design, development,
manufacturing, and worldwide marketing and sales of footwear, apparel, equipment, accessories,
and services. Further objectives of study were to outline integration of CSR policies and
practices within existing business strategies to manage growth in particular span of time. Also,
objective was to derive implementation of CSR activities within 2 months of time to determine
positive impact of responsible practices on existing business strategies. In contrast, focus of
research was to improve the profitability of an organization after integrating and implementing
CSR activities within existing strategies of business.
In accordance with the study it has been found out that Nike have faced many ethical and
sustainability issues because of lack of focuses on responsible internal management. The
organisation faced critique for its designed product that is Balaclava because its marketing and
type of design. The was argued for promoting gang violence in society as it marketing resulted in
promotion of Gang culture and Violence. On the other hand, research articulated about
sustainable initiatives by Nike to alleviate poverty, youth development and environmental
benefits. The study outlined CSR contribution and changes made my Nike in external and
internal management of business environment. As per the focus of company on social welfare
and environment development it can be said that implementation of CSR requires huge cost
investment as it promotes diverse changes like use of advantage technology to minimize waste,
establishing use of waste and water treatment facilities, etc. Further, from the study it is outlined
that purchase of organic cotton for manufacturing is another environment friendly approach by
Nike which influence cost efficiency of business.
The scholar has used primary and secondary research to explore different aspect f
research. The secondary information in the study was based on different articles, books,
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journals, blogs, news and company publication which helped in critical analysis of different facts
on specific theme. The logical presentation in Literature review is presented by using specific
example of Nike. This helped in outlining specific efforts made by Nike to manage corporate
sustainability. On the other hand, primary research helped in gaining valid results which were
collected with the help of survey questionnaire. The primary information was accumulated from
30 participants who shared wide range of information about Nike and its compliance with CSR
practices and initiatives. Thus, from the dissertation it has been found out that it is important for
the companies to integrate with CSR policies and activities to attain growth and competitive
advantage. The sustainable initiative by organisation assist in managing ethically responsible
practices which results in social, economic and environmental development.
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ACKNOWLEDGEMENT
I would like to thank my friends who supported me mentally during dissertation as it was
length and there were times when I was frustrated findings news aspect to study. The individuals
assisted me in outlining different books from which I can gain knowledge over my chosen topic.
The support from class mates was the major support due to which I am able to complete research
on time regardless of time constraints.
Further, my guidance from supervisor was the biggest support in completion as I was
confused at many stages of dissertation chapter. The help of educator after every chapter of
research helped me in altering study with improvement which was the best part and helped me in
successful completion. I feel continuous feedback from assessor helped in critical thinking over
the topic which I feel is the crucial aspect of thesis.
Also, I would like to show my gratitude towards my family members who supported me
during entire dissertation by motivating me whenever I felt that I lack logical thinking and
compare and contracts of collected information can not be done by me. My family was extremely
supportive and also assisted me in making presentation of dissertation viable as per research
topic. I gained knowledge my family embers over the ethical concepts of study which made my
study reliable and viable.
In last, I would like to thank participants of study who coordinated with me in all the
questions of survey. The individuals were highly supportive and shared very possible and
relevant information about CSR and its integration and implementation in Nike for attaining
growth. In accordance with the results and analysis of study I would like to appreciate the
coordination and communication of respondents in dissertation completion.
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Topic: Corporate social responsibility and the impact on business growth
CHAPTER 1: INTRODUCTION
1.1 Background of study
Corporate social responsibility refers to the practice which guides the organization in
managing sustainable business practices. CSR is a type of model which helps the enterprise in
managing socially accountable and safe working practices. It is specifically focused on three
dimensions that is social, economic and environment which comprise conscious capitalism,
corporate citizenship, sustainability and conscience (Grayson and Hodges, 2017). With
increasing globalisation and digitalization, it has become important for the multinational,
international and national organisation to incorporate CSR framework in order to manage safe
practices.
Figure 1: Aspects of Corporate social responsibility
(Source: Corporate Social Responsibility, 2016)
Strengthening foundation of CSR in organisation management aims at improving
sustainability of supply chain management, working as per human rights standards, managing
diversity and equality among employee and effective governance and compliance. Further,
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responding to environmental issues has also become essential for the organisations because of
increasing global warming alarm (Quazi, Amran and Nejati, 2016). In accordance with this,
entities have started focusing on promoting low carbon society, resource circulation, healthy and
safe environmental practices, waste management and minimum use of natural resources. Apart
from this, CSR framework aim at contributing to social issues via business activities. As per
CSR, enterprise aims at managing challenging innovation in products with the help of marketing,
sales and designing of commodities.
Figure 2: Complexity and Conflicts of Sustainablity
(Source: Farooq, Hao and Liu, 2019)
Implementing CSR practices has become essential for organization in modern era as the
millennials in companies are focuses on getting work practices right. The socially responsible
changes aim at encouraging collaborating management and leadership to promote equality and
diversity among employees (Martínez-Ferrero, Banerjee and García-Sánchez, 2016). Further,
being remarkable partners with customers is another aspect which is helping modern
organization in proving innovative and sustainable high-quality solutions which assist in building
long term relationship with buyers. In addition, serving civil society is another element covered
under CSR framework which aim at boosting innovation and establishing partnership with
scientific and academic communities to manage work responsibly and ethically.
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1.2 Overview of the organisation
Nike is an American footwear manufacturing company and a multinational corporation.
The company is engaged in development, manufacturing and designing of footwear,
equipment’s, accessories and apparel specifically for sports purpose. Mission of Nike is to
expand potential of humans by creating ground-breaking innovation in sportswear. Also, focus of
firm is on making sustainable products by working together towards diversity of people and
products requirement. The company advertises its products by focusing on motivation for society
like Just Do It campaign was launched on 30th anniversary of enterprise.
Nike was a part of several controversies like ethics misconduct in supply chain and
therefore, in recent year firm has focused on investing in suitable CSR activities. It has proved to
be beneficial for the brand image of an organisation like in past few years Nike has focused on
halving environmental impact by doubling manufacturing rate. The initiative of sustainable
innovation by Nike was initiated with the motive of creating better future for local communities
and world. Main aspects of CSR and sustainability which are focused by Nike are, reduction of
carbon footprint, innovation in manufacturing, development of new palette of sustainable
material, invention of close loop commodities, shifting to renewable energy, establishing
diversity and inclusive work culture and considering voice of society from manufacturing to
marketing of products.
1.3 Aim, Objectives and Questions
Aim
“To examine the impact of corporate social responsibility on business growth: A case
study on Nike”.
Objectives
To develop understanding about the concept and model of CSR.
To assess benefits and drawbacks associated with CSR activities of the firm
To ascertain integration between CSR and business growth in the context of Nike.
To recommend ways through which Nike can ensure business growth via CSR activities.
Questions
Q.1 What is CSR and models associated with it?
Q.2 What benefits and drawbacks are associated with CSR activities?
Q.3 Does CSR activity of Nike impacts its organizational growth?
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1.4 Rationale of study
The reason behind choosing this topic and conducting research on CSR is personal as well
as academic interest. There are wide range of environmental, economic and social issue which
have global concerns like business ethics, increasing carbon footprints and lack of safety of
employees at workplace. The study will help in gaining insight over different sustainable and
socially responsible practices which can be implemented and integrated in operations of
organisation to manage growth of business with least harm to economy, society and
environment. The motto of research is to discuss and explain integration and implementation of
different activities of CSR which can assist Nike in attaining growth of business. The study will
help in boosting personal knowledge as research will be specific different aspects of corporate
social responsibility in framework (Stoian and Gilman, 2017). Scholar will also focus on logical
reasoning of facts with the help of relevant secondary sources which will promote critical
thinking over impact of CSR. Thus, the research is for the purpose of reducing negative impact
of organisational activities on society, economy and environment.
1.5 Significance of Study
The topic of study is significant as it is focused on managing sustainability in business.
Outlining positive impact of corporate social responsibility on growth of business will help in
deriving different improvement in business operations and supply chain management. Socially
responsible practices play a crucial role in managing ethical organisational practices with regard
to societal and environmental issues. The information of study will help in justifying various
controversies faced by Nike in past years. Further, it will help in outlining changes in sustainable
practices of Nike to manage ethically responsible practices to contribute in social, economic and
environmental development. Collective information in research will help scholar in gaining
understanding over integration and implementation of CSR framework in Nike for attaining
business growth. The importance of research will be reflected on different case study example
which will help in justifying the need of incorporating practices of CSR to achieve growth and
set business targets.
1.6 Scope of the study
Scope of research is wide as it is based on practices of organisation which make business
ethically and socially responsible. The scope of topic is reflected in key word search of topic
which comprise, corporate social responsibility, positive impact, integration, implementation,
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practices, framework, social, economic and environmental issue (Gupta and Sharma, 2016). This
will help in outlining impact of managing sustainability on growth and profitability of business.
Further, scholar will cover several CSR initiatives that can be taken by company to manage
sustainable growth. Also, it will cover different cases which have become controversy for Nike
due to ethical misconduct with to regard to society and acceptance of people. Thus, the scholar
will gain insight over the topic by dividing research aspects on the basis of outcomes like,
implementation, integration, profitability and growth of organisation.
1.7 Structure of Dissertation
Introduction Chapter 1: The chapter has outline brief overview of study topic which
was necessary to develop understanding over the concepts on which entire research is based.
CSR is the self-regulating framework which aid in control unethical and harmful business
practices. The part outline aim of the study and objectives on which information will be
researched. This comprise outlining of impact of CSR on business growth and integration and
implementation of CSR practices in Nike within particular time. Also, the chapter outlined
importance, scope and motive of choosing specific topic from where it has been identified that
the topic is of personal and academic interest of scholar.
Literature review Chapter 2: This chapter is the most specific chapter of dissertation
based on accumulation of secondary information on research aim and objectives. The
information in this chapter is based on specific researchers of different scholar on relatively same
topic of study. The chapter will be based on information from articles, online blogs, journals,
governmental publication, news, etc. Further, the information in this chapter is specific to
particular author and is reflected by in texting of references. The chapter helps in proving
reliability and viability of collected and interrelated facts.
Research Methodology Chapter 3: This chapter aid in deriving systemic data
collection and analysis over research topic. The chapter denotes use of different research tools to
manage smooth flow of study. This part will outline detailed analysis of research approach and
philosophy which will be used in dissertation that is inductive approach and interpretivism
philosophy. Methodological tools help in logical reasoning of collected facts on the basis of
observation of findings. Further, the chapter will provide understanding over different data
collection methods and specifically primary data collection method that is survey. Also, its
methodology will outline justification over use of random sampling and qualitative analysis.
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Results and Findings Chapter 4: This section of dissertation is complex as in this,
scholar aim at presenting collected results in systemic form that is on different themes as per the
questions of survey. In this chapter, scholar aim at dividing and analysing information with the
motive of addressing objectives. It is important for the scholar to be specific and presentable and
therefore in this research investigator will make use of bar, graph, pie charts, etc. to make results
presentable and information specific. The interpretation in this chapter will be done theme wise
where results of survey will be interpreted with appropriate justification.
Discussion Chapter 5: This chapter of dissertation will depict understanding of scholar
from primary and secondary collected information. The section is all about reasoning and
justification of collected and interpreted information. In this, focus of scholar is on critically
evaluating primary and secondary information which promotes comparison and helps the
researcher in addressing research questions. This is final chapter where all the information is
accumulated and compared to draw outcomes for research objectives. Thus, it can be said that
the chapter depicts understanding of intellectual over collected information in entire study. It also
depicts reliability and viability of facts and findings covered in dissertation.
Conclusion and Recommendation Chapter 6: The chapter presents summary of entire
research which comprise aim and objective of investigation for which entire study has been
conducted. The chapter comprise recommendation over the entire gathered data which is done to
present ways of improvement in chosen business.
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