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Thursday, March 28, 2013

Misusing CSR



CSR as we know it and CSR of the future

 
The concept of CSR (Corporate Social Responsibility) is not new. Some link its birth to the middle of the 20th century and the attempt of tobacco corporations to remedy their public images and to shift the focus of attention from the harm they cause to the good they claim they do. However, the concept has been developing all through the past years and has come to mean incorporating philanthropy and responsibility towards stakeholders and community at large. A definition of it could sound as “doing business by doing more good and trying to avoid harm”.
The way CSR is been practiced also differs greatly from country to country (explicit and directly marketed in many countries and implicit and promoted by earning recognition of third parties in other countries). For this reason any generalization about the concept cannot be feasible.
However, it cannot be denied that many companies use the CSR flag as a marketing tool. Dorfman, Cheyne, Friedman, Wadud and Gottlieb give a great example of that in their article “Soda and Tobacco Industry Corporate Social Responsibility Campaigns: How Do They Compare?” (www.plosmedicine.org). They be a few CSR campaigns run by soda corporations. Pepsi’s RefreshProject turns out to be the perfect example of misusing CSR.
The problem about doing that is not only ethical. What happens is that corporations use the consumers’ desire to do business with responsible companies to turn them into loyal users of their products. The biggest question here is about the consequences of such an act when we talk about companies which produce health endangering products as sweets, fast food, soda, alcohol, tobacco and medicines.
This issue is highlighted further by the ever greater use of social media in consumer relationship building. Using social media allows for constructing consumer realities and boosting consumer brand involvement by participation in causes, games, initiatives. When CSR activities as a part of marketing become viral through social networks the motive behind, thus the real goal of the campaign gets blurred into the mass excitement. In campaigns as the Pepsi Refresh Project results are expected to be more sells and not so much philanthropic projects, confirmed by a Pepsi official, cited by the authors.
Even though business of business is business and this will never change, with the appearance of greater tools for managing (not to say manipulating) consumer behavior it is necessary that companies take the responsibility accompanying such great power.
Many researchers argue that regulation agencies are too slow in following progress in technology. Thus the consumer is left at the mercy of companies employing ingenious marketing campaigns designed to shape behavior. Therefore something more is necessary. That could be the next CSR direction which would allow companies to master responsibility in close consumer contact.
That could be done for example by engaging in social marketing and reshaping businesses to reflect the needs of society. That is of course idealistic, the realistic approach would be to either focus marketing efforts on adults only, to increase the amount of health information freely available to users or to avoid creating unhealthy habits by using social media involvement of consumers.
Even though there is no active reaction by the public concerning social media and CSR efforts of companies at the moment it is certain that with mounting research on the topic public awareness will soon be raised and the issue will be faced. That is why it is a good investment to rethink your CSR strategies and social media appearance so that they reflect the values your company stays for. This is the surest way to avoid a crisis and go ahead of competition when many are going to face the anger of the public.
 
DIDI

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