Date post: | 16-Aug-2015 |
Category: |
Marketing |
Upload: | sameer-mathur |
View: | 12 times |
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Businesses have not always believed in the value of social responsibility
I have never known much good done by those who profess to trade for the public
good – Adam Smith
Forces driving CSR
Rising customer expectations
Evolving employee goals and ambitions
Tighter Government legislations and pressure
Investor interest in Social Criteria
Media scrutiny
Changing Business Procurement practices
Hard to differentiate between what is ethical and unethical. Firms must adopt and disseminate a written code of ethics
Bribery, theft of trade secrets,
price fixing etc are unethical.
Social responsibility behaviour Communicating CSR is quite a challenge. Many a time, firms become a target of criticism when adopting sustainability and environmental initiatives.
Cause related marketing Cause marketing refers to “marketing efforts that have at least one non economic objective related to social welfare and use the resources of the company and/or of its partners” – Minette Drumright and Patrick Murphy
Costs and Benefits
Could backfire if consumers question the link between the product and the cause or see the
firm as exploitative and inconsistent.
Increase firm’s market value
Drive sales Enhance firm’s public image
Differentiated brand positioning
Build strong consumer bonds
Improve social welfare
Social marketing: Carried out by non profit and government organizations to further a cause. They are quite complex and usually take time to take effect.
Recap:
Socially responsible Marketing: 3 pronged attack Legal behaviour Ethical behaviour Social responsibility behaviour Combining CSR initiatives with marketing practices.