To Identify CSR Impact on Customer Interest and Choices: Starbucks

This research project investigates the impact of Corporate Social Responsibility (CSR) initiatives on customer interest and choices, focusing on Starbucks as a case study. The project begins with an overview of the research, including the background of Starbucks and the rationale for selecting this topic. It then provides a literature review of CSR, its significance, and its impact on customer behavior and organizational performance. The research methodology outlines the qualitative approach, research design, and data sampling techniques. The project also addresses ethical considerations. The findings indicate that CSR activities significantly influence customer interest, choices, and satisfaction levels. Starbucks' efforts in fulfilling social responsibilities, such as providing better working conditions, high-quality products, and addressing supplier issues, are discussed. The study concludes with recommendations for Starbucks to improve customer satisfaction, including gathering feedback, building customer loyalty, and providing excellent customer service. The project highlights the importance of CSR in enhancing brand image and achieving long-term success.

Research project

Table of Contents
1.1 Background of the research project.......................................................................................1
1.2 Stating the reason of choosing this project...........................................................................2
1.3 Literature review...................................................................................................................2
1.4 Research methodology..........................................................................................................4
1.5 Appropriate timeline of research activities for agreed investigation....................................6
REFERENCES................................................................................................................................9

TITLE – “To identify the impact of corporate social responsibilities initiatives on customers'
interest and choices”. A case study on Starbucks.
1.1 Background of the research project
This is one of the most imperative part of research project which signifies a brief
summary about overall research project. The prime reason behind choosing this project is to
analyse the impact of corporate social responsibilities and how it hinder customers' interest and
choices. In other words, it refers that if a business entity fulfil its social responsibilities then
people can easily attract towards it (Smith, 2014). The given assignment is based on Starbucks;
its an American coffee house chain which was founded in 1971. As of 2016, the business
organisation operates over 28000 worldwide. The main products of Starbucks are hot and cold
coffees, beverages, baked cooks, tea, sandwiches, smoothies etc. The overall revenue of the
company is US$22.387 billion and its operating income is US$4.135 billion. Vision statement of
Starbucks is to implement company as the most respected and recognised brand over the world
and become an international dealer of coffee which values principles and ethics that employees
could be proud of. On the other hand, research aims and objectives will be also prepared which
clarifies the actual requirement to conduct this research. In order to carrying out all working
activities and tasks researcher has used effective tools and techniques. On the other, customers
plays a significant role in promoting ethical corporate practices. Thus, companies are required to
give them an unique experience of shopping that can affect their choices and interest. The
creation of new and innovative products needs an examination of consumption of practices.
Research objectives
 To find out the extend of fulfilment corporate social responsibilities for business
organisations.
 To ascertain the impact of CSR activities on customers' interest and choices.
 To determine the relationship between CSR activities and organisational performance
level. Recommend the ways through which Starbucks can improve customers' satisfaction
level.
Research questions
 Q1. What is the significance of CSR activities for Starbucks?
 Q2. What is the impact of social responsibilities on customers' choices?
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 Q3. What is the relationship between CSR activities and organisational performance
level?
 Q4. Justify the ways by which companies can increase the level of customer satisfaction.
1.2 Stating the reason of choosing this project
As the theme of this research project is to ascertain the impact of fulfilment of social
activities on customers' interest and choices. The reason behind selecting this theme is to prepare
a comprehensive framework that would be used to diagnose if CSR hinders' ethical customers'
choices or behaviour. The another purpose is to apply the research hypothesis for theoretically
investigating those factors which can effect customers interest (MacInnis, Park and Priester,
2014). In this modern era, there are several business entities are established, if they provides
proper information to buyers then it aids in recognising their needs and wants. Generally,
consumers are impotent to detect social influence of goods during consumption as well as in
purchasing situation.
1.3 Literature review
It provides theoretical information and literature that is associated with CSR and
customers' choice. While conducting this research, researcher find potential factors which can
affect buyers' interest within organisation. Basically, literature review is a brief description of
opinions or view points of several scholars and authors. If Starbucks satisfies customers' needs
then it can easily accomplish its goals and objectives. The prime objective of this phase is to
determine the impact of social responsibilities on an organisation so as to sustain a deep
understanding of variables and their relationships.
Significance of fulfilling social responsibilities for Starbucks
In order to survive for long term period in market, it is fundamental for business entities
to fulfil their social responsibilities in an effective manner. The management approaches of
Starbucks is various programmes of CSR; it firm is emphasis to pertain sustainability in its
operations. Thereby, if the company ethically carry through its social responsibilities then it can
easily gain high competitive edge and market share. For example – Starbucks priorities its staff
members by providing them better working conditions, higher wages and job security. It led they
will enable to perform at wider level. Apart from this, in terms of customers the firm tries to
recognise the interest of buyers' then deliver then high quality products and services, i.e. coffee
and related beverages. According to Hsu, (2012) healthy and positive relations with customers
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helps to maintain better interaction with them. On the other hand, if Starbucks addresses the
issues of their suppliers and develop policies to resolve them. It would assistive in reducing the
rates of raw materials that aids eliminates production cost as well for the company. Through
which firm is capable to attain its goals and objectives in a pervasive manner.
Impact of CSR activities on buyers' choices and needs
Customers are treated as one of the most crucial factors who are liable for growth and
success of a corporate association. Business activities and operations can be affected by the
society as well as individuals. It is essential for Starbucks meet societal objectives by recognising
the interest of stakeholders. Corporate social responsibilities are seemed as competitive strategy
which aim is work in ethical manner so as to grab market opportunities. For customers, the social
responsibility of the firm to determine their needs and wants, by conducting marketing research
(Manning, 2013). For example- people will prefer to purchase things from that organisation
which will gives them higher satisfaction level.
Along with this, buyers will consumers are tend to pay an effective amount for
consuming qualitative products which are environmentally as well as socially responsible. A
small number of highly ethical consumers do exist. They care much about producers’ CSR in
their buying and consumption choices.
Relationship between social responsibilities and organisational performance level
Corporate Social Responsibility often abbreviated as “CSR” are those responsibilities and
initiatives which a company takes for the well being of the society. The organisation plans
various schemes to benefit the society. By planning CSR in effective manner it help in
sustainable development of the organisation. In other words we can say that it is a relationship
between a corporate society and local society in which the company is operating. With the view
point of Walsh and Bartikowski, (2013) there are basically three principles which comprises
CSR; they are sustainability, accountability and transparency. Sustainability is concerned with
the actions or activities which take place in present and no longer available for future.
Accountability is concerned with actions or activities which affects the external environment.
Transparency is concerned with providing all the information about the external and internal
environment to all.
Organisation performance is an important factor to monitor the progress of the
organisation. It is important to measure the progress with the desired progress to check the level
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of the organisation. CSR helps to increase the level of performance of the organisation. More
activities related to social welfare will attract the customers towards the organisation.
Organisation should make effective CSR to make loyal customers and maintain their high level
of performance.
Ways to improve customers' satisfaction level
The business organisation carry out their solely to satisfy the needs and expectation of
consumer. It is the primary motive for a business operating in the market as it leads to generation
of higher level of revenue for the organisation along with enhancement of brand revenue.
Starbucks is an multinational organisation aims to fulfilling requirement of caffeine for the
coffee lovers. The efforts of this organisation to serve the best coffee to prospects and that too at
competitive prices (Bigné, Currás-Pérez and Aldás-Manzano, 2012). The customer experience
works as a core of a foundation of a business therefore needs to be work upon to enhance the
same. The various ways through which customer satisfaction can be improved are as follows:
Feedback: it is a contemporary approach which leads to improved customer satisfaction.
The people who avail the services are requested to fill the feedback form which will lead to
identify their taste and preferences and shortcoming of serving are ascertained. The challenges
which are encountered by business must be analysed by the business so that they are improved.
Building customer loyalty: this is another approach through which satisfaction level of
guests can be enhanced. They should be served in memorable manner by wishing them on their
birthdays and special occasions. They should be engaged in an conversation so that their
preferences are identified and fulfilled. Bolton, and Mattila, (2015) states that organisations' have
to offers variety of services to which an individual can opt depending upon his taste and likes.
Customer Service: Mistakes and errors are indispensable part of business but they can be
countered with provision of ideal customer services. The company aims that every Starbucks
experience is better than before therefore the company have provided with a hotline which helps
in addressing of questions, queries and comments to uplift the customer experience.
1.4 Research methodology
This part is treated as one of the most essential section of research which help directly
towards overall report for its correct direction to gaining appropriate outcome or result. Thus,
make accurate conclusion, researcher have to adopt different techniques and methods for
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collecting information. Therefore, methodologies are represents for gathering correct data by
determining actual facts and information.
Types of research
There are generally two types of investigation which are qualitative and quantitative
techniques. This former is based on company views and thoughts for common people and
accumulation for examining information that has to be done at the same ground level. It is
objective and applied in nature and there are various process for collecting suitable sources that
includes making questionnaire, interviews that are based on interrogation (Taneja, Taneja and
Gupta, 2011).
On the other hand, the main motive is to evaluate the perform and compare quality for
past information which will develop an idea for doing right work for the future time frame. It can
be analysed that quantitative research mainly related with numerical factors and experimental
measurement of making relation with quantifiable in nature.
It can be observed that qualitative method of research is used for current topic so it will
provide proper feedback and perspectives of customers.
Research design
It is define as whole strategy which are select for integration of different elements of the
examination in practical and logical way. Thus, research has effectively highlights the issues and
problems of investigation. It has been observed that there are usually three kinds of research
design which involves description, exploratory and experimental. In this context, theme of
research, description design is one of most appropriate that can effectively drawn from this.
Research approaches
This section of report is divided into two parts which is deductive and inductive factor.
Qualitative technique of research is used in that context, inductive concept is determine as major
appropriate structure for this. This is key difference among deductive and inductive approaches.
Inductive method is associated with forming new theory which can be performed according to
the collected information (Matute‐Vallejo, Bravo and Pina, 2011). In this contrary, deductive is
nothing but experiment and intention concepts.
Data sampling
It is usually statistical technique which is used for manipulating, selecting and evaluating
symbolic gathering of information in order to explore various structure and trends in huge
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information. Probabilistic and non probabilistic technique of testing that can use for the same. In
the recent report, sampling activity is used so this part of probabilistic sampling method can help
in taking accurate sample from whole population present in international area. Investigator select
20 respondents who are desired and regular clients of Starbucks.
Ethical consideration
It is very important as this will assist in resolving major issues and problems that can
occurs while carry out research. Employees of research should make sure their respondents are
collected where they have make authenticate and genuine in nature. Motivation values should be
descriptor at the time of conducting such task.
1.5 Appropriate timeline of research activities for agreed investigation
While conducting an appropriate research, it is necessary for research to prepare accurate
timeline so as to perform all tasks and activities systematically. In this, researcher is required to
prepare a proper time it assists to done all working activities on time. Below mentioned several
tasks which are getting involved to conduct an investigation: -
 Designing aims and objectives – Very first, researcher have to decide several aims and
objectives which he or she wants to attain from that research. It takes around 5 days at
least.
 Preparation of data source – Afterwards, researcher needs to find out various data sources
so as to get proper or accurate information. Selection of data collection is based upon
flexibility of the research topic.
 Data collection – Data can be gathered by several sources, i.e. primary and secondary.
Primary data sources caters new data or information whereas secondary data can be
gathered from books, journals, library, articles etc.
 Data analysis – In this stage, investigator have to examine the data or facts by using
questionnaire and conducting interviews.
 Conclusion and recommendations – At last, researcher provides necessary suggestions
and recommendations to persons who are involved in doing research activities.
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Work break down structure
Gantt chart
Critical Path
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REFERENCES
Books and Journals
Smith, N. C., 2014. Morality and the Market (Routledge Revivals): Consumer Pressure for
Corporate Accountability. Routledge.
MacInnis, D. J., Park, C. W. and Priester, J. W., 2014. Handbook of brand relationships.
Routledge.
Hsu, K. T., 2012. The advertising effects of corporate social responsibility on corporate
reputation and brand equity: Evidence from the life insurance industry in Taiwan.
Journal of business ethics. 109(2). pp.189-201.
Manning, L., 2013. Corporate and consumer social responsibility in the food supply chain.
British Food Journal. 115(1). pp.9-29.
Walsh, G. and Bartikowski, B., 2013. Exploring corporate ability and social responsibility
associations as antecedents of customer satisfaction cross-culturally. Journal of Business
Research. 66(8). pp.989-995.
Bigné, E., Currás-Pérez, R. and Aldás-Manzano, J., 2012. Dual nature of cause-brand fit:
Influence on corporate social responsibility consumer perception. European Journal of
Marketing. 46(3/4). pp.575-594.
Bolton, L. E. and Mattila, A. S., 2015. How does corporate social responsibility affect consumer
response to service failure in buyer–seller relationships?. Journal of Retailing. 91(1).
pp.140-153.
Taneja, S. S., Taneja, P. K. and Gupta, R. K., 2011. Researches in corporate social responsibility:
A review of shifting focus, paradigms, and methodologies. Journal of Business Ethics.
101(3). pp.343-364.
Matute‐Vallejo, J., Bravo, R. and Pina, J. M., 2011. The influence of corporate social
responsibility and price fairness on customer behaviour: evidence from the financial
sector. Corporate Social Responsibility and Environmental Management. 18(6). pp.317-
331.
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