Leadership and Management: CSR Case Study - UniQ EnergeX

This case study examines UniQ EnergeX, a growing food industry company, and analyzes the significance of Corporate Social Responsibility (CSR) within its business operations. The analysis explores the importance of CSR in enhancing the company's brand image, attracting premium customers, and fostering ethical business practices, especially in a competitive online market. The study investigates the potential benefits and drawbacks of CSR activities, considering how they can influence profitability and the development of a positive public perception. The assignment includes a proposed CSR statement for UniQ EnergeX, detailing how the company should focus on sustainable growth, market place, environment, social and community development, and employee and customer well-being. The case study further discusses the principles of CSR, such as integrity, stakeholder relationships, and legal compliance, while acknowledging potential barriers to implementing CSR initiatives, like financial constraints. The conclusion emphasizes CSR's role in maximizing value for stakeholders and promoting long-term success.

Running Head: CSR
Business and Management Ethics and Importance of CSR
Case Study Analysis
System04104
2/19/2020

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Abstract
CSR is important aspect of ethical business practice. The organisations are require to focus
upon the CSR activities so that it can develop a positive brand image within the industry and
can attract its target customers. The analysis is focused on UniQ EnergeX, which is dealing in
food industry and serving the customers over the internet. The organisation is required to
focus upon the CSR activities so that it can compete within the industry and will help in
attracting the premium customers within the industry. The CSR activity also negatively
influences the organisation as due to investing the revenues in CSR the profitability of the
organisation declines. However in long-run CSR contributes towards being an ethical
organisation and promotes the growth of the organisation within the industry.

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Introduction
This case is about UniQ EnergeX, which is a small but growing company in food industry.
The company uses third party manufacturing companies for its production in Asia and
Eastern Europe. The company sells its product through the Internet where competition is very
high. In the present analysis of this case, it has been discussed that why corporate social
responsibility is important for the UniQ EnergeX and explains the purpose of management
and business ethical practices.
UniQ EnergeX is a growing company and it continuously focuses on its premium customers
who want to buy products on regular basis from UniQ EnergeX. In such a situation, UniQ
EnergeX needs to do some social welfare activities for the interests if society and for the
environment in which it operates its business. The investment of UniQ EnergeX in CSR
activities helps the company to enhance the public perception about the brand and food
products of the company. This will also shows that how CSR activities helps the society for
education and contribute in developing the society. CSR is not only related with the society
rather it also connects the staffs of the company towards the company and enhances their
loyalty (Stoian and Gilman, 2017). In such a scenario, the CSR activities of the company
enhance its image and help to establish a strong relationship with employees that will further
enhance the productivity of the company. CSR will not only help UniQ EnergeX to create a
positive brand perception among people rather it will enhance the production of the company
in future. The positive public image of the company helps the company to increase its
premium customers as well (Aksak, Ferguson, and Duman, 2016).
The company UniQ EnergeX wants to attract premium customers for its premium products
and it has business production with third parties companies in Asia and Eastern Europe. In
such a case, the expense on CSR activities removes the barrier in bulk production and also

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helps the company to establish a positive reputation in the society and people in which
company operates it business. Investment in local communities attract new millennium
generation people towards the company to fill the jobs that makes easier for the company to
recruit people on frequently basis as per need of the company (Wilburn and Wilburn, 2016).
UniQ EnergeX can also create a positive environmental and social impact in younger
generation on both local and global level.
It is the ethical responsibility of a business organisation to care of the community and
environment in which it operates its business. Some companies use CSR activities to gain
competitive advantage over the competitors. To attract premium customers for the premium
products and establish a good relationship with local vendors, it is essential for the company
to take holistic approach for CSR programs, which can help the organisation to strengthen the
organisation’s brand reputation (Rodrigo, Aqueveque, and Duran, 2019). As company is
targeting to achieve its targeting price, the positive relationship with vendors and suppliers
can prove its responsibility towards the people who are connected with country. It is the
responsibility of a business organisation to fulfil its ethical and social obligation towards the
society in which it operates its business. The CSR activities of the company encourage people
to pay premium for its products by knowing that part of the profit of the company channelled
towards social causes near and dear to them. The CSR activities of UniQ EnergeX can help
the company to enhance the foot traffic in the production house and also attract the local
community to pay premium price for the product.
Socially responsible companies not only cultivate positive brand image rather their CSR
activities also increase the loyalty of its customers and partners. The social responsible
approach of the company helps the company to attract top-tier employees for the company
and these steps further help the company to increase the profitability and long-term financial

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success (Kumar, Sinha, Arora, and Aggarwal, 2018). It can be said that CSR activities of
UniQ EnergeX can help the company to maximise the creation of share values for the
owners, stakeholders, and shareholders of the company. The basic and fundamental aim of
the corporate social responsibility is to achieve a positive impact on society and gain
competitive advantage over competitors (El-Kassar, Messarra, and El-Khalil, 2017).
Proposed CSR Statement and Reasoning behind this
UniQ EnergeX should focus in sustainable growth and development while showing a great
responsibility towards the society. For this, the company should consider the following
factors for CSR.
1. UniQ EnergeX should care for the Market place for the establishing a healthy
competition in the market
2. UniQ EnergeX should focus on Environment for protecting the resources and
decrease the deforestation and destruction of natural resources.
3. Company should spend money on social and community development in which it
operates its business. Company can also spend money for welfare of people and
provide education for girl and poor people (Kim and Ferguson, 2018).
4. UniQ EnergeX should care for its people and avoid those ingredients that can affect
the health of people and its own customers.
CSR Principles
UniQ EnergeX should focus on following CSR principles such as they should understand
their CSR activities as a matter of pride and integrity. The company should focus on to ensure
that organisation establish a good relationship with its stakeholders such as community,
customers, vendors, suppliers, third party companies etc. and follow the legal compliances as

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well. Once company attracts its premium customers and sell them desired stock of products,
the CSR activities of the company helps to retain these premium customers and ensure a
long-term success of the company (Youssef, Leicht, Pellicelli, and Kitchen, 2018).
Barriers in Conducting CSR activities
CSR activities of UniQ EnergeX can help the company to enhance its market and increase its
number of premium customers but the major problem with the company is that it is still a
growing company and the expenses of CSR activities increase the expenses of the company
that will directly affect its profitability. A company that operates its business on small scale
cannot bear the risk of spending money on social activities and environment.
Conclusion
In conclusion, In the case of UniQ EnergeX, CSR activities will definitely help it to enhance
it public image and increase the number of premium customers but somewhere it will
increase the burden on the company and negatively affect its profitability as well. CSR
activities should be compulsory for the companies under which companies should spend
some small portion of the profit on social and environment development. It can be said that
CSR activities of UniQ EnergeX can help the company to maximise the creation of share
values for the owners, stakeholders, and shareholders of the company.

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References
Aksak, E.O., Ferguson, M.A. and Duman, S.A. (2016) Corporate social responsibility and
CSR fit as predictors of corporate reputation: A global perspective. Public Relations
Review, 42(1), pp.79-81.
El-Kassar, A.N., Messarra, L.C. and El-Khalil, R. (2017) CSR, organizational identification,
normative commitment, and the moderating effect of the importance of CSR. The Journal of
Developing Areas, 51(3), pp.409-424.
Kim, S. and Ferguson, M.A.T. (2018) Dimensions of effective CSR communication based on
public expectations. Journal of Marketing Communications, 24(6), pp.549-567.
Kumar, A., Sinha, A., Arora, A. and Aggarwal, A. (2018) Impact of CSR activities on the
financial performance of firms. MUDRA: Journal of Finance and Accounting, 5(1), pp.75-89.
Rodrigo, P., Aqueveque, C. and Duran, I.J. (2019) Do employees value strategic CSR? A tale
of affective organizational commitment and its underlying mechanisms. Business Ethics: A
European Review, 28(4), pp.459-475.
Stoian, C. and Gilman, M. (2017) Corporate social responsibility that “pays”: A strategic
approach to CSR for SMEs. Journal of Small Business Management, 55(1), pp.5-31.
Wilburn, K.M. and Wilburn, H.R. (2016) The growing importance of integrated reporting for
corporate social responsibility. Review of business & finance studies, 7(2), pp.75-89.
Youssef, K., Leicht, T., Pellicelli, M. and Kitchen, P.J. (2018) The importance of corporate
social responsibility (CSR) for branding and business success in small and medium-sized

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enterprises (SME) in a business-to-distributor (B2D) context. Journal of Strategic
Marketing, 26(8), pp.723-739.