CORPORATE RESPONSIBILITY TOWARDS CONSUMER STAKEHOLDERS

By: Amit Kumar (B07005) Avadhut Kaluskar (B07011) Dhananjay Joshi (B07015) Indraneel Mukherjee (B07021) Shashank Vyas (Bo7038) Kumar Vikas (B07048)

Look back at your business and life, at their end, and honestly say that the years of doing business have had some meaning. We should be able to look back and see that we have conducted ourselves and our business in a way that had some lasting meaning and which left some good mark on the world. -Buddha

If you find an executive who wants to take on social responsibilities, fire him. Fast. - Peter F. Drucker

Contrast between corporate social responsibility, corporate social responsiveness, and corporate citizenship
Corporate social responsibility Origin Basis 1920s Principles of charity and stewardship Moral obligations to society at large Philanthropy, trustee of the publics interests Corporate social responsiveness 1960s Demands made by numerous social stakeholder groups Corporate citizenship

1990s Building collaborative partnerships with stakeholder groups

Focus

Action

Practical responses by Discovering business businesses to opportunities through corporate partnerships stakeholders Managing corporate Social programs social and financial performance

Corporate Social Responsibility

CSR encompasses an organization's commitment to behave in an economically and environmentally sustainable manner, while honoring the interests of direct stakeholders. Corporate social responsibility (CSR, also called corporate responsibility, corporate citizenship, and responsible business) is a concept whereby organizations consider the interests of society by taking responsibility for the impact of their activities on customers, suppliers, employees, shareholders, communities and other stakeholders, as well as the environment.

CSR does matter to the public

Most customers will not pay more for products from responsible companies.

BUT
Increasingly the public is expecting corporations to act responsibly.
When forming a decision about buying a product or service, how important is it to you that it shows commitment to social responsibility?

Behavior & Attitudes Marketing Research, 2003

CSRis isan an influence influence on consumers CSR on consumer

75% 52% 72% 53% 70% 50% 68% 40% 68% 50%

Purchasing a car or major appliance Choosing a bank/financial services company Choosing an insurance company

Choosing a cell phone provider

Selecting a home builder

Companys reputation
Purchasing consumer products
61% 47%

Companys CSR FGI Research Inc.

Q1. Please rate how likely your decisions are to be influenced by a companys reputation when doing any of these following activities. Q7. How likely are your purchasing decisions to be influenced by a companys corporate social responsibility when doing any of the following activities?

Consumer behavior: Are consumers willing to spend more for CSR?

Future Consumer Report: Small price increase is no problem, say consumers when interviewed

ITC Limited

There are still millions who only dream of school, ITC is helping some of them realise this dream

CSR: Relation with consumers

Ethical Consumerism Green consumerism Brand differentiation & Loyalty

Consumer Attitudes: What elements of CSR have priority?

The new understanding of CSR

As the triple bottom line --Profit, People and Planet. (1) Business goals are always for profit, and that (2) Business and corporations are supposed to take part in the efforts to fulfill people's welfare and this (3) Requires active participation in securing the planet's sustainability.

Thank You!!!!!