The Social Responsibilities Of The Businessman Case Study

Today’s management has constantly been pressured to allocate resources to corporate social responsibility (CSR). This has been necessitated by the adoption of a broader view of the responsibility of corporations not just to its owners, but also to other important groups such as employees, partners, customers and the local communities within which it thrives. These groups collectively termed as stakeholders, ideally work together with management to incorporate social responsibility as a vital aspect of corporate management (Swaen & Chumpitaz, 2008). In the present paper, we explore the meaning and role of CSR in the corporate context as well as in society, the influence of CSR on consumer perceptions and the various initiatives undertaken by …show more content…
This means that, for maximum value creation, businesses need to engage with its stakeholders to enable it to take into account their needs and aspirations during the design of CSR programmes and strategies. So far, most managers have responded positively to such interaction with stakeholders as a result of increasing awareness and appreciation of the relevance of multiple stakeholders (Donaldson and Preston, …show more content…
Using experimental research, the team observed how customers responded to service provided to customers in the hospitality industry and how their behavior changed when this service was extended to employees and society, in general, as part of CSR in the hospitality industry. The findings showed that customer perceptions of CSR positively and significantly shaped customer attitudes and behavioral intentions. Favorable perceptions led to increased customer trust and loyalty in the company while unfavorable perceptions led customers to shift loyalty. Customers in the case where no CSR initiatives were performed spent less on the company and a smaller percentage later