In the recent business world, various strategies re being employed by companies with various aims including that of increasing its competitiveness, increasing the profits as well as increasing its working environment among others. Most companies have engaged in the employment of corporate social responsibility (CSR) as a strategy of increasing their benefits which in return are expected to give the company using it a competitive advantage. Corporate social responsibility is a business practice that comprises of initiatives aimed at benefiting the society and can include various tactics including those of implementing business operations that are greener as well as giving away a portion of the proceedings held by a company to charity. This social
Introduction: Business sustainability is often defined as managing the triple bottom line - a process by which companies manage their financial, social and environmental risks, obligations and opportunities. These three impacts are sometimes referred to as profits, people and planet. Introducing sustainability is one of the key values which every business must abide to. It is said to be one of society’s promising means to safeguard natural resources and the eco system. Sustainable business is environmentally and socially aware business strategies and operating practices that both helps the various firms to contribute to a cleaner and healthier world at the same time pave way to make profitability.
In fundamental terms it is about structured sustainable businesses, which need strong economies, markets and communities. Corporate Social Responsibility (CSR) is the decision-making and execution process that guides all business activities in the precautions and promotion of international human rights, labour and environmental principles and agreement with legal requirements within its operations and in its relations to the societies and communities where it operates. The economic, environmental and social sustainability of communities during the ongoing engagement of stakeholders, the dynamic involvement of communities impacted by company activities and the public reporting of company policies and performance in the economic, environmental and social grounds, are commitment for the contribution of CSR. Some more thoughts can be referred as "Corporate Social Responsibility (CSR) is the organized commitment by business to behave ethically and contributes to economic development while improving the workforce quality of life and their families as well as of the local community and society at immense" as well as "CSR is about ability building for sustainable livelihoods. It respects cultural differences and finds the business opportunities in building the skills of employees, the community and the government".
Corporate Social Responsibility (CSR), by definition, refers to the responsibilities of business that go beyond that of its obligatory economic, legal and technical requirements and more towards philanthropic actions for sustainability. It is rooted from the belief that a business owes certain responsibilities towards the society and stakeholders beyond that of making profits. Corporate ethics, which are the morals of right and wrong regulating the conduct of businesses, works side by side with CSR. In today’s increasingly globalized and corporate world, plagued by exploitation, inequalities and corruption of corporate irresponsibility, ethical behavior and CSR has grown in importance and has turned into an evident priority for business leaders.
However, when looked at the angle of the retailers, it is apparent that the company has strong buyer power. Supplier Power There is a huge level of dependence between Proctor and Gamble and its suppliers. In order to improve its revenues, the company needs high quality raw materials for its production activities. The fact that the company has a wide network of suppliers presents it with an opportunity to improve its operations. Threat of new entrants Over the years, P&G has dominated the consumer goods industry in the world.
Firstly, the adoption of corporate codes of conduct, to indicate organisational congruence with societal expectations. Secondly, the use of firm linkages to field-level regulatory bodies, such as accreditation bodies, to indicate social fitness between business and environment (Vergne, 2011). As businesses, comply with regulations, preventing environmental degradations and serving society with needed products and services and at the same time benefitting economically from the activities. Businesses will gain legitimacy ‘as their actions will be perceived to be consistent with stakeholder’s expectations’ (Colleoni,
Diversity when properly managed and implemented, contributes immeasurably to the growth of a business. As such, prioritizing diversity in business activities as a social responsibility does not only benefit the community the business is located but also promotes growth within the business environment. Diversity has been seen to be the premise for a healthy human reproduction and development. It is also needed to complement the ever increasing rigidity and interdependence that exists in the global business environment. Nielsen and Nielsen, 2013 postulated that “global firm have been shown to perform better because of diversity.” But they further explained that the management of diversity is very crucial as the world is increasingly becoming interconnected and complex.
The more challenging environment requires new solutions to match changing business setup and strategies. Here a company requires corporate finance advice. Corporate finance teams contributes in the well being of company by assisting company managers to take the right financing decisions in order to maximize the shareholder
Such organizations attain a successful change in underlying issues in the community through feedback and innovations towards solving the social problem. By constituting commercial, public issues, and ventures, social entrepreneurship greatly contributes towards Vision 2030. Components of Social Entrepreneurship Social entrepreneurship includes a combination of social and commerce issues used to enhance the lives of individuals connected to some community problems. Particularly, commercial matters are met to raise money that is used by the entrepreneurship to work towards eliminating the matter negatively affecting people. In fact, the sole focus of this business is to improve the world condition and not to make profits, unlike other forms of business existing nowadays (Phillips, Lee, Ghobadian, O’Regan, & James, 2015).
The success of a company depends largely upon the engagement of its extended ecosystem of suppliers and collaborators. Technology now makes it possible for large groups to collaborate on complex tasks, such as product innovation, across functional and corporate boundaries. This kind of innovation is required to maintain sustainability. The business model must be aligned with its broader social and ecological context to create “social advantage” to strengthen the business’s sustainability. Leaders must do more than maximize profitability and must ensure the sustainability of their companies’ business models and look for opportunities to align economic and social vectors for