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(12 MBA2012) (26 MBA2012) (32 MBA2012) (44 MBA2012) (45 MBA2012)
Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large
- Lord Holme and Richard Watts
the reputation & profitability. the brand image . Not mere charity. The concept of CSR is not new.CORPORATE SOCIAL RESPONSIBILITY Redefining business as ethical business. Has different meanings for different people. .
Traditional View? Begin in 1983. . CRM and media campaigns.WHAT IS CAUSE RELATED MARKETING? Do well by doing good Any marketing with a cause.
CRM & CSR are often used interchangeably and sometimes CRM is taken to be the subset of CSR. .CSR & CRM RELATIONSHIP CSR CRM CSR means to go beyond the CRM is when companies legal requirements and try to partner with charitable organizations to help nonconnect business with society profits better achieve their as well as environment. goals.
.What comes in your mind when you think of following? • BP • Chevron • Exxon Mobil All are top 10 Fortune 500 companies All these companies neglected their responsibilties towards community.
. Companies Bill 2009 and 2011 mandates companies falling in a certain category allocate at least 2% of profits to CSR initiatives.SITUATION IN INDIA Earlier in India not much companies were interested in the concept of CSR & CRM.
INDIAN COMPANIES UNDERTAKING CORPORATE SOCIAL INITIATIVES .
Initiative to generate sustainable livelihoods Initiative to generate sustainable livelihoods .ITC INITIATIVES ITC – the first and only one of seven Indian companies to adopt the Global Reporting Initiative's (GRI) triple-bottom-line reporting on a voluntary basis. ITC economic and social objectives are not different. Initiatives to manage natural resources.
CAUSE RELATED MARKETING .
“Padhega India. Badhega India” .PROCTER & GAMBLE World’s best cause marketer. SHIKSHA is an integral part of P&G's global philanthropy program. P&G has been consistently taking up several cause related marketing initiatives in every country they operate in.
“EVERY LITTLE HELPS” .TESCO COMPUTERS FOR SCHOOLS Most successful cause-related marketing programme in the UK from both the business and the cause point of view.
Corporate social responsibility proves to be an important tool to communicate an organisation’s good images to the public.IMPLICATIONS Regardless of the type of corporate social responsibility (CSR) is appropriate to use. . corporate social responsibility can be used to benefit an organization.
Helps a firm immensely in having an edge over other competitors. with some CSR. Ethical consumerism has lead the consumers to be biased towards an org. .
Improved relationship with retailers and supply chain. Strong incentives for customers to switch to the brand.The effects of CSR and cause-related marketing on the company: Enhanced public perception of the brand of the organization. Positive media coverage. Rise in sales. Creation of a unique selling proposition over the competitors. Increased long-term customer loyalty. Improved employee loyalty and morale. .
Marketing Implications because of Cause related marketing: Marketers can use cause related marketing with generally two benefits– Better social responsibility Better commercial advantages .
policies Increased expectations from the society Increased competition in the market Growth and advancement • • • • Demographic Increase in consumption Health related issues Technological advancement .THE FUTURE OF CORPORATE SOCIAL RESPONSIBILITY Stringent Govt.
THE FUTURE OF CAUSE RELATED MARKETING A shift from CSR to CRM CSR: shoe company CRM: classmate Merger of marketing and social responsibility • Increases sales • Creates goodwill Creation of a win-win situation .
a shift from charity to responsibility Collaboration with NPOs Community development Environment management .TRENDS IN CSR.
SUGGESTIONS & RECOMMENDATIONS Need for the awareness among the general public Removing communication gap between corporations and general public Small and medium enterprises should be brought under CSR domain Role of government in rewarding the good work in CSR activities by the corporate houses .
Making CSR as compulsory discipline in the business schools. Taking the CSR program to the rural areas. Creation of an independent auditing agency for mainstreaming and institutionalizing CSR in the main business framework of the companies. . Pooling the CSR activities by different corporations towards the growth of the nation.
THANK YOU .