Executive Summary

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Executive Summary

Businesses cannot be run by the people outside the society. They are part of the society due
to which they have certain responsibilities towards the society. An organization is responsible
for the daily operations of the business that effect the society. There are various policies and
procedures that have to be followed by the organizations for fulfilling the responsibilities of
organizations towards the society. These duties and responsibilities can be called as the
corporate social responsibility. Every organization has the corporate social responsibility
towards the society. Some organizations make various types of charities for helping the
needy people in the society out of the profits that are made by them. Most of the people are
also happy to pay the high prices for the products when they come to know that the price they
are paying is also going to the charity. Another type of corporate social responsibility that all
the organizations observe is that the organizations should take the necessary measures to keep
the environment clean and safe. For this purpose, the organizations have to dispose off their
poisonous waste properly using a proper waste disposal system. Also the harmful gases
which are produced as a result of the production process is actually polluting the atmosphere
which can spread various diseases. Hence, saving the environment is for the mutual interest
of everyone because the polluted environment can have bad impact on the health of people of
the society. The organization should take steps for the conversion of these harmful gases into
the less harmful gases before their discharge into the atmosphere. An example of the
McDonalds can be taken into review for understanding the concept of corporate social
responsibility. McDonalds is making use of the paper bags for packaging of food rather than
the plastic bags because the plastic bags do not get decomposed. Also they have kept the
charity boxed next to their tills when taking orders. When the customers pay for food, they
put some money into the charity boxes. Hence, McDonalds is performing the corporate social
responsibility in this. Another way in which the organizations actually perform the corporate
social responsibility is that they provide jobs to the people living in the society.

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Table of contents

Introduction……………………………………………………………………………………3
CSR benefit for environmental protection…………………………………………………….3
CSR influence on the society as a whole …………………………………………………….4
CSR is a best way to build customer relationships……………………………………………4
Example of McDonalds……………………………………………………………………….4
Conclusion…………………………………………………………………………………….5
References…………………………………………………………………………………….5

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Introduction
Business is a part of society; no one can run business separate from the rest of the society.
The behaviour of organizations affects a lot of people in various ways. An organization is
responsible for its operations that have an effect on the society. Organization usually run with
a profit motive but apart from that they also have the responsibility to treat their employees
fairly. The friendly work environments are created for the employees in order to maximize
their participation in the work place. The role of a business organization towards its society is
wide and it comes under the Corporate Social Responsibility (CSR). A single definition for
CSR does not exists as it is a vast term so many authors have given various definitions of
Corporate Social Responsibility (Harjoto, 2017).
Corporate Social Responsibility is basically a way in which the companies interact with the
shareholders on a voluntary basis. The factors that play an important role in the corporate
social responsibility may include the state, business organizations, firms, academic
institutions and local NGOs etc. The core drivers of corporate social responsibility include
enlightening the self interest, contribution to social capital, transparency and trust and
increased expectations of the business by public etc. Making investments in CST can lead to
the competitive advantage and the financial gains for the firm. The organization usually keep
a fixed budget for CSR activities due to which the CSR programs yield minimum benefit.
The organization usually allocate funds for various charities by performing the Corporate
social responsibilities (Michales, 2018).
CSR benefit for environmental protection
Corporate social responsibility in the organizations can get the overall benefit for the society.
The organization usually take steps for saving their environment and make sure that their
actions do not harm the people in the society. There are various government laws as well
which bans the organizations from harming the individuals in the society. Saving the
environment is for the mutual benefit of the whole world. As world is a global place and
polluting it would not only effect the other people in the society but it would also effect the
person polluting the environment (Capaldi, 2016). Hence, it is the corporate social
responsibility of the organizations to save the environment. This can be done by taking the
necessary steps to abstain from doing that which is actually harming the society. The
corporations are advised to keep their factories in the far remote areas from the populated
areas to minimize the effect of the harmful gases that are produced as a result of the
production process. The increasing rates of carbon dioxide are causing various types of
diseases like lung cancer and other respiratory diseases in the people. They have to be

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controlled by growing more plants and trees in the society. Business organizations can play
their part by reducing the emission of carbon dioxide and other harmful gases into the
atmosphere. They can convert these harmful and poisonous gases into less harmful gases
before their emission into the atmosphere. Moreover, the waste that is dumped into the water
bodies like lakes, rivers and oceans are killing the creature inside them. Hence, this waste
should also be stopped from dumping into the water bodies and proper waste disposal
systems should be adopted by the organizations (Fordham, 2018).
CSR influence on the society as a whole
Corporations also have a positive influence on the society by providing jobs to the people,
carryout the business and purchasing the goods. Many public and private organizations have
a responsibility of playing their role for the benefit of the whole community. They have a set
of policies and procedure that have to be followed all the times which provides the
opportunity to think for the whole society. In the developing countries, the people are facing
low wages and poverty issues. Corporations can take various measures for minimizing these
issues in the developing countries. They can do that by providing jobs to the people and
giving them fair wages and salaries. The organizations take care of their employees by
providing them bonuses and rewards by treating the employees fairly (Masoud, 2017).
CSR is a best way to build customer relationships
Organizations make relations with their customers by following the corporate social
responsibility policies. The corporate social responsibility of the organizations effects the
buying behaviour of the consumers and it makes them loyal to the brand. When the
corporations are actually doing something for the society as a whole by doing charities, the
customers are also with them on this. Customers are willing to pay high prices for the
products if they come to know that a part of the price they are paying is going to charity
(Mahmoud, 2017).
Example of McDonalds
The companies that are helping the society by maintaining a corporate social responsibility
are actually appreciated by the customers. They stand out of the group of organizations. An
example of McDonalds can be taken into account in order to understand that how the
business organizations are actually carrying out the corporate social responsibility.
McDonalds is a leading brand. It has chain of fast food restaurants to succeed with the
corporate social responsibility programs. Currently, McDonalds has more than 30,000
restaurants in about 100 countries. McDonalds has been performing its corporate social
responsibility from the very beginning. The customers actually value the products of the

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company. The company is passionate about what they serve to the customers. They are doing
the right things from the very beginning which is actually building the confidence and trust of
customers on the company. They are practicing the corporate social responsibility in the three
key areas which includes the ethical practices, environmental protection and long term
economic viability. McDonalds is making use of the paper bags for the take away customers
rather than using the plastic bags. This shows their corporate responsibility towards the
environment. The plastic bags are dangerous for the environment as a whole as they do not
decompose even after years of reaming buried into the land and they also effect the sea
creatures when they are thrown into the sea. Hence, using the paper bags is the environment
friendly option that can be adopted by the organizations. McDonalds is also carrying out
various types of charities. They keep the charity boxes next to the counters so that when the
customer pays for their food, they put some of the money into the charity box which are
collected by the charity organization when they come for taking the donations (Ross, 2017).
Conclusion
Hence, corporate social responsibility is an issue that is addressed by all the organizations.
Most of the business organizations are taking necessary steps to perform the corporate social
responsibility for the organizations. They have a set of policies and procedures which guides
them towards the achievement of the goals of corporate social responsibility. There are also
some government laws which have to be abide by the organization when they are carrying
out their business. These laws ban the corporate organizations from doing any acts that could
be harmful for the society. The corporate social responsibility of the organizations can also be
seen when the companies are taking necessary steps in saving the environment from getting
polluted. Saving the environment is the responsibility of every individual on the earth. The
companies do that by reducing the usage of plastic bags and reduction in the emission of
harmful wastes into the atmosphere.
References
 Harjoto, M. (2017). Corporate social responsibility and corporate fraud. Social
Responsibility Journal, 13(4), pp.762-779.
 Michaels, A. and Grüning, M. (2018). The impact of corporate identity on corporate
social responsibility disclosure. International Journal of Corporate Social
Responsibility, 3(1).
 Capaldi, N. (2016). New (Other?) Directions in Corporate Social
Responsibility. International Journal of Corporate Social Responsibility, 1(1).

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 Fordham, A. and Robinson, G. (2018). Mapping meanings of corporate social
responsibility – an Australian case study. International Journal of Corporate Social
Responsibility, 3(1).
 Ross, D. (2017). A research-informed model for corporate social responsibility:
towards accountability to impacted stakeholders. International Journal of Corporate
Social Responsibility, 2(1).
 Masoud, N. (2017). How to win the battle of ideas in corporate social responsibility:
the International Pyramid Model of CSR. International Journal of Corporate Social
Responsibility, 2(1).
 Mahmoud, M., Blankson, C. and Hinson, R. (2017). Market orientation and corporate
social responsibility: towards an integrated conceptual framework. International
Journal of Corporate Social Responsibility, 2(1).
 Herbas Torrico, B., Frank, B. and Arandia Tavera, C. (2018). Corporate social
responsibility in Bolivia: meanings and consequences. International Journal of
Corporate Social Responsibility, 3(1).

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