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How CSR initiatives affect consumer behaviour

The definition of Corporate Social responsibility can vary depending on whom is asked. However, most concepts and theories go by the same principles and beliefs.

In 1974, Purcell Defined Corporate Social Responsibility as a manager willing to tackle certain social issues, they consider to be urgent and to use the influence of his or her company to find a potential solution to those problems if the solution is within the company’s capabilities. This responsibility gives the manager the task of balancing the needs of the many groups affected by the firm to allow them to achieve both profitable production and the common good, especially in situations in which the manager is not required to do so by law or by external pressures that the company cannot easily resist. (Purcell, 1974).

McWilliams and Siegel (2001) described CSR as actions that appear to further some social good, beyond the interests of the firm and that which is required by law (CSR is beyond obeying the law)

Although these definitions were created decade’s apart, they both express the same values. This shows that the purpose of CSR being introduced into organisations has remained the same Both definitions describe CSR as being beyond the law. Both definitions believe organisations should pat careful attention to the impact their business operations have on the environment and other groups or stakeholders who may also be affected by an organisation’s activities. The correct implementation of CSR requires organisations to meet the social needs of their stakeholder’s while ensuring that their negative impact on the environment is kept to a minimum.

The value of CSR has drastically increased throughout the years. This has pressured more brands and organisations to practise CSR in this era of business. Research shows that practicing CSR initiatives is no longer a choice for a brand. Failure to correctly implement CSR into business operations can hinder the success of a business, as well as prevent them from entering any market successfully.

According to Kotler and Lee (2005), the following initiatives are considered as issues falling within CSR activities:

  • Issues that contribute to community health
  • Issues that encourage safety
  • Issues that enhance education
  • Issues that improve employability
  • Issues that enhance the quality of life in the natural environment
  • Issues that enhance community and economic developments
  • Issues that facilitate the provision of basic human needs and desires
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