HI5013 - Managing Across Borders: CSR Role and Benefits in Business

This report explores the critical role of Corporate Social Responsibility (CSR) in today's business environment. It begins with an executive summary and introduction, defining CSR and its importance. The report delves into the benefits of CSR for organizations, including improved brand image, customer loyalty, and financial performance. It highlights how CSR is becoming a standard business practice, integrating social, ethical, and environmental concerns into core strategies. The report provides examples of companies like McDonald's, TOMS, Coca-Cola, Ford, and Dell that are actively involved in CSR initiatives. The conclusion emphasizes the importance of CSR for accountability to stakeholders, environmental protection, and social well-being, ultimately suggesting that CSR benefits organizations, society, and the environment. The report is based on the HI5013 Managing Across Borders course and includes references to support the arguments.

Managing Across Borders 0
Managing across borders
System04116
8/22/2019

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Executive summary
The concept of corporate social responsibility is extremely valuable for the organizations
to understand or know and implement as it assist them to understand their responsibilities,
liabilities and duties to better their working conditions, safe environment, infrastructure for their
customers and the society as a whole.
This report is based on the objectives to meet as this study has aim to identify the role of
corporate social responsibility in today’s world. The initiatives by the organizations for CSR are
discussed. This gives competitive benefits to the organization for stay in business for long
period. This also helps in competing in the international marketplace.
The corporate social responsibility in today’s world gives the benefits to the society as it
is where an organization invests into communities and infrastructure to enhance its sales and to
improve the reputation. This study finds out the possible results of such investments for the
society.

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Contents
Executive summary.....................................................................................................................................1
Introduction.................................................................................................................................................3
Corporate social responsibility (CSR).........................................................................................................3
Role of corporate social responsibility........................................................................................................3
Role of corporate social responsibility in today’s world..............................................................................4
Conclusion...................................................................................................................................................6
References...................................................................................................................................................6

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Introduction
This report highlights the research background which will lead towards the discussion of
the problem that is to understand or know the role of corporate social responsibility in today’s
world which resulting in competitive benefits for the organization and the social benefits for the
society. Corporate social responsibility is an essential practice that needs to be exercise in an
organization for achieving the success effectively and efficiently. The report will introduce the
corporate social responsibility and its role in today’s world and benefits for the organizations the
report will include overall aim of the study and particular research. The hypothesis of the
research will be included in the report.
Corporate social responsibility (CSR)
Business or organization is not separate from the society. The way organization behave
impact the several people not only the people involved in business. Therefore, organization must
be responsible for the operations they do in the society. Businesses and organizations are under
more inspection than ever before. Besides being the profitable organization, the business’s
responsibility can be connected to the fair treatment programs for the staffs, fundamental friendly
technique for the workable environment and participation in the discussions regarding to the
social ethical problems etc.
Role of corporate social responsibility
The corporate social responsibility plays a significant role in the business world as it
reviews the social, political, economic and environmental trends which may have the significant
impact on the business activities of the company and its performance which may results in low

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economy of the country. The CSR increases with globalization as both investors and customers
have become extremely sensitive to environmental and societal issues. This helps the business
organization to impulse its relationship with local communities and increases the organization’s
branding. It generally focused on building the good corporate image for them. Along with this
CSR reduces the negative effects of business activities and create the wealth and value for the
stakeholders or shareholders and the community as the whole. The common role of corporate
social responsibility includes helping in controlling costs, improve the brand of the company,
attract top-quality talents and also facilitates the long period financial success (Saxton, Et al,
2019).
Role of corporate social responsibility in today’s world
In today’s world, there are number of companies who are doing their business in different
fields and have some moral or ethical responsibility towards the company, society and the
employees for gaining the competitive edge in the eye of people. Corporate social responsibility
is becoming more standard business practice nowadays. The companies made policies and
procedures in place that integrate the social, ethical, environmental, human rights and customer
concerns into the operations of business and the core strategies that are all in close collaboration
with the stakeholders. The companies taking responsibilities in corporate field with a fair number
that admitting to having adopting corporate social responsibility mainly as the gimmick of
marketing. CSR comprising re-evaluating in what way the organizations thinks about its effect,
engaging stakeholders beyond the shareholders and come up with the strategy to better the effect
of the business on the societies and seize the opportunities of business and make cost savings as
the result company attests. Corporate social responsibility is using as the brand building and

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product marketing strategy as many corporate executives still depends on the old hierarchical
and financial model as the basis of their own planning (Karaosmanoglu, 2016).
In modern era, CSR is not only important for the improvement of the brand image but
also it helps to move towards the corporate sales improvement and the loyalty of customers,
therefore, creating the competitive benefits for the companies. The CSR improves the financial
performances of the companies as there is chances of more investments which result in immense
economic results. Therefore, the role of CSR has occupied crucial place in the plans and the
strategies of the corporate businesses in the today’s world (Ramesh, Et al, 2019).
Due to the CSR, the organizations have become part of the international business
community that have impacted and are being impacted by social changes, events and pressures
from around the world. The relationship between society, government and business is improved
as there is less conflict and maximum positive results for all (Story, 2015). The CSR improves the
quality of customer’s living, fair wages, reasonable prices, safety of employees, proper
management of fund and fair advertisement and make contribution towards the sustainable
development by proper management of operation which enhances the economic growth, ensures
the protection of environment increases the competitiveness and promotes the social rights. Thus,
the CSR becomes the idea of integration for the companies regarding social and environmental
concerns in their business related activities (Rupp, Et al, 2018).
For instances, there are various organizations in the today’s world that are socially
responsible and leading the charge in making the world a better place:
McDonald’s: it is among the leading international restaurant chains. The company announced
that it will provide nutritional information on its packaging of product for the benefits of

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customers. for the McDonald’s, corporate social responsibility is about following the values
every day, taking an action, maintaining lines of communication with the stakeholders and
customers and attainment of results.
TOMS: TOMS is known for its business model of given that one pair of shoe to those people in
need for every pair of shoes they make sells. As estimable as that aim is, its fight for human
rights increased well beyond that. They also partner up with the number of NGOs and other
nonprofit organizations to prove ethical behavior. TOMS also helps to reinstate vision to
visually-impaired personalities, provides clean water for drinking and construct businesses in
developing states and fights bullying.
Coca-Cola: Coca-Cola continues to make paces toward helping in the mitigation of
environmental problems. After understanding that its fleet of delivery vehicles accounted for 3.7
million metric tons of the greenhouse gases (GHGs) in year 2014, Coca-Cola made important
variations to their supply chain like capitalizing in vehicles that are motorized by alternative
fuels. Those variations must support the goal of the company of reducing their carbon footprint
by 25% by year 2020.
Ford motor company: Ford is another company trying to improve its environmental performance.
In an exertion to lessen its GHG releases, an Eco Boost engine was established to raise fuel
efficacy and the business hopes to deal 13 new electric vehicle models by year 2020. Moreover,
now American Ford dealerships use wind sail and solar PV systems as its initial power source.
Dell: Dell now contributes to the environmental management by delivery its laptops in less
extravagant ampules using more environmental friendly resources or materials (Hodge, 2018).

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Conclusion
From the above research it is concluded that corporate social responsibility encourages
the accountability to a broad range of shareholders, stakeholders and investors. The main were of
the concern are the protection of environment and the social well-being of people in the society,
both now and in the future. Corporate social responsibility has the variety of policies offered to
organization, providing the customer’s product and services, decreasing harmful waste and
treating their staffs or workers with moral ethics. CSR is the best thing which was implemented
into the business both small and large in this way the society and the environment can be treated
it imagined to with respect. CSR is that thing everyone gets benefit from it when the organization
adopt CSR policies.

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References
Hodge, K. M., & Sousa, P. (2018). Dualism, Disembodiment and the Divine: Supernatural Agent
Representations in CSR. In Evolution, Cognition, and the History of Religion: A New
Synthesis (pp. 309-321). BRILL.
Karaosmanoglu, E., Altinigne, N., & Isiksal, D. G. (2016). CSR motivation and customer extra-role
behavior: Moderation of ethical corporate identity. Journal of Business Research, 69(10), 4161-
4167.
Ramesh, K., Saha, R., Goswami, S., & Dahiya, R. (2019). Consumer's response to CSR activities:
Mediating role of brand image and brand attitude. Corporate Social Responsibility and
Environmental Management, 26(2), 377-387.
Rupp, D. E., Shao, R., Skarlicki, D. P., Paddock, E. L., Kim, T. Y., & Nadisic, T. (2018). Corporate social
responsibility and employee engagement: The moderating role of CSR‐specific relative autonomy
and individualism. Journal of Organizational Behavior, 39(5), 559-579.
Saxton, G. D., Gomez, L., Ngoh, Z., Lin, Y. P., & Dietrich, S. (2019). Do CSR messages resonate?
Examining public reactions to firms’ CSR efforts on social media. Journal of Business
Ethics, 155(2), 359-377.
Story, J., & Neves, P. (2015). When corporate social responsibility (CSR) increases performance:
exploring the role of intrinsic and extrinsic CSR attribution. Business Ethics: A European
Review, 24(2), 111-124.