This document provides an overview of a research study on the impact of corporate social responsibility (CSR) on the brand attention of Tesco, a large UK-based grocery retailer. The study aims to analyze how Tesco utilizes CSR in its operations and how CSR can improve the company's brand image. The literature review discusses different approaches to CSR, including Carroll's pyramid model and western approaches. It also outlines the importance of CSR for employee contribution, reputation/legitimacy, and competitive advantage. The document lays out the background, objectives, research questions, and rationale for further analyzing Tesco's use of CSR and its effects on brand attention.
This document provides an overview of a research study on the impact of corporate social responsibility (CSR) on the brand attention of Tesco, a large UK-based grocery retailer. The study aims to analyze how Tesco utilizes CSR in its operations and how CSR can improve the company's brand image. The literature review discusses different approaches to CSR, including Carroll's pyramid model and western approaches. It also outlines the importance of CSR for employee contribution, reputation/legitimacy, and competitive advantage. The document lays out the background, objectives, research questions, and rationale for further analyzing Tesco's use of CSR and its effects on brand attention.
This document provides an overview of a research study on the impact of corporate social responsibility (CSR) on the brand attention of Tesco, a large UK-based grocery retailer. The study aims to analyze how Tesco utilizes CSR in its operations and how CSR can improve the company's brand image. The literature review discusses different approaches to CSR, including Carroll's pyramid model and western approaches. It also outlines the importance of CSR for employee contribution, reputation/legitimacy, and competitive advantage. The document lays out the background, objectives, research questions, and rationale for further analyzing Tesco's use of CSR and its effects on brand attention.
This document provides an overview of a research study on the impact of corporate social responsibility (CSR) on the brand attention of Tesco, a large UK-based grocery retailer. The study aims to analyze how Tesco utilizes CSR in its operations and how CSR can improve the company's brand image. The literature review discusses different approaches to CSR, including Carroll's pyramid model and western approaches. It also outlines the importance of CSR for employee contribution, reputation/legitimacy, and competitive advantage. The document lays out the background, objectives, research questions, and rationale for further analyzing Tesco's use of CSR and its effects on brand attention.
2 Chapter 1: Introduction Research Background Tesco plc is a renowned retailer of groceries and lots of consumer products in the UK. This company has been performing extraordinarily since its beginning in 1919. The firm has many subsidiaries that make a contribution in different sections. The firm secured around 65 billion of revenue last in 2020 maintaining proper growth. Tesco plc is a big company employing over 400 thousand employees in different countries (Tesco Plc, 2018). The company has a great reputation in the market and among its customers for effective operation and management. The brand image of the company can be improved through the application of Corporate Social Responsibilities in its operations. The study focuses on understanding the use of Corporate Social Responsibility in Tesco plc and how it can elevate the image of the brand through a systematic approach.
Research Aim and objectives
The aim of the research is to identify the effect of Corporate Social Responsibility on the brand image of Tesco plc. The implementation of the project requires the researcher to follow some objectives that would accelerate the achievement of the projected outcome. The objectives for this research are given here. Understanding the aspects of Corporate Social Responsibilities Analysing the Importance of CSR in improving brand image and attention Realising how Tesco plc utilises the process of CSR in its operations Designing suggestions for the firm to develop its CSR approaches
Research Questions This research project would answer some questions relating to the objectives. They are discussed here. What are the traits of CSR? How does CSR impact the brand image and attention? How does Tesco plc manage CSR in its activities? How can Tesco plc develop the CSR approaches?
Research Rationale Corporate Social Responsibilities are the approaches that a firm takes to manage proper ethics and morale in its activities. CSR has become one of the strongest strategies of companies around
3 the globe. This practice is demonstrated in the annual reports of the company and the promotional contents of the company (Rasche, 2017). This project would analyse the aspects of CSR and its use in Tesco plc. This study can be related to the context of business management in this era of tenacious business practices. The outcome of this result is crucial to understand the proper procession of CSR that can bring effective brand identification.
4 Chapter 2: Literature Review A business firm has the primary goal to gain profit and growth in the market. The core tasks of the firm involve product management, marketing sales and others. Corporate Social Responsibility has become a revolutionary part of firms to engage with society and make contributions outside of their ordinary course of work, reports Fernando (2021). The main driver behind the approaches of CSR is the perception that a business gets many benefits from society. Therefore, CSR is considered to be a way to give back to society and the environment. In fact, a firm can gain a better image in the market with wide opportunities to grow and develop.
The Approaches of Corporate Social Responsibilities
There are various types of CSR that a firm can follow depending on its capabilities. Some of the prominent CSR approaches are described here.
The Pyramid Model
Professor Archie B. Carroll came up with the model of CSR with a pyramid arrangement. This model shows the stages for a firm to take approaches to CSR and also shows the scope of application for each level. Economic Responsibility: As a business entity, the core target of a firm is to gain profit and become financially solvent. The stakeholders of the company including the shareholders, employees, editors, tax collectors, managers and others greatly rely on this aspect as they also get benefited when the firm is profitable. Therefore, the first stage occupying the biggest area in the pyramid is economic responsibility. According to Thacker (2019), this is important for the company to give back o the stakeholders with money and monetary benefits. Also, this step is essential if a company aims to contribute to society. Legal Responsibility: The government of a country sets some regulations for firms to follow. These regulations are directed to make firms work in an arrangement that does not hurt the interests of others. The leaders who are elected by the people impose these laws to save the rights of humans. Perry (2020) believes that a business that wants to contribute to society and its people should be respectful of these laws. Also, many of these laws exist to ensure the protection of the environment which has become one of the most crucial issues in recent days.
5 Ethical Responsibility: At this stage in the pyramid of Carroll, firms try to express their morale through their actions. There are many situations where a company fall into a moral dilemma and falls into difficulty to find the correct decision. Sometimes, following all legal aspects might become hard. In those cases, firms need to follow the ethical aspects properly, states Tipton (2019). For example, if any employee gets harmed physically on their way of coming to the firm, the legal directions might not allow any sort of compensation to the company. But the firm can act ethically and provide financial and psychological support to the injured employee. An ethical approach is a great way to serve society and stakeholders. Philanthropic Responsibility: The final stage of Carroll’s pyramid of CSR contains philanthropic responsibilities. This stage has the most direct relation to CSR where firms put efforts and resources keeping the target of helping others in mind. Peppemexpect companies to do something positive for the community. There are many ways for firms to become philanthropic, report Lee, Kim and Roh (2019). This includes supporting charities, leading movements for social and environmental issues and others.
The Western Approaches to CSR
Another famous approach to Corporate Social Responsibilities is the Western method. This method has five different branches. They are discussed here. Classical: This approach is motivated by the economist Milton Friedman who believed that the main way of executing corporate social responsibility is to invest in the development of strategies and products through the resources that would allow firms to become more productive and profitable. This practice keeps the competition among firms alive and beneficial, says Monachino (2016). Social Contract: The second approach named Social Contrast is the idea saying a firm relates to society while completing the CSR tasks. This supports the idea that companies mainly devise their CSR plan in a way that would satisfy people in the society, not the approaches that are necessary beyond others perception, according to Fernando (2021). Instrumental: This approach is used by many firms where the firm develops the CSR plan while keeping the stakeholders in mind. This is a great approach that satisfies every party and helps firms complete the process with less time, effort and money. Legitimacy: This strategy is used by firms to gain public trust and legitimacy through the ways of CSR. Tipton (2019) says that the firms utilise this approach in the beginning stage of their life
6 or in times when any specific incident hurts the reputation of the company to gather support from people. Stakeholder Theory: The last part of the western approach is the stakeholder theory. This process solely concerns the rights and demands of the stakeholders. The firms identify the need of stakeholders and focus on making them happy which can also lead to better support from people.
Importance of Corporate Social Responsibility
Corporate Social Responsibilities is not just some activities that a firm execute to help people and society. This practice can bring much good for the firms and improve their brand position in the market. The core importance of CSR in business development is described here. Employee Contribution: Employees play a crucial role in the betterment of a firm. They perform their jobs and express productivity that helps firms gain effective results and outcomes. Employees are motivated by the internal and external conditions of the workplace. According to Heyward (2020), If a firm maintains CSR, it also takes care of the rights of the employees. They make sure the workers are getting paid properly and receiving extra benefits out of their extraordinary contribution. This practice can help employees feel connected to the firm. It also ensures employee retention and satisfaction. When employees feel safe in a workplace, the overall brand image of the firm gets elevated. Customer Outlook: Customers go through many steps of psychological evaluation before making any purchase decision. Murphy (2019) believes that if a firm establishes itself to be beneficial to its stakeholders and society, customers feel safe to buy from it. Again, the CSR activities of the company also create a perception in the mind of buyers that the products and services of the firm would be top-notch and effective. This creates a positive customer reaction and response which is essential for the brand image and attention of a company. Investor Trust: Coleman (2019) says that a firm that has a reputed contribution to society and philanthropic activities is considered to have an extensive financial condition. They are perceived as a firm that executes its duties properly and maintains accountability to the stakeholders. Again, CSR helps a firm show its responsibleness to current and potential investors. Investors give money to the firm and expect reasonable returns. They put their money to profitable and trusted firms that show proper contribution and projections. CSR activities are
7 great strategies to gain attention and trust from the investors which help the company in the long run. Smart and Efficient Business: Business firms use CSR as the core strategy of their brand recognition process. Almost all big firms are now contributing through CSR and being considered as role-model for others. For example, Coca-cola has got succeeded in being one of the global leaders in employing women and empowering them. This has made the firm more noticeable than ever, reports Grosser, Mccarthy and Kilgour (2016). Unilever is going green in almost every section of its activities and contributing to the environment. This helps the firm stand out among competitors. Competitive Advantage: Competitive advantage indicates having some specific trait and aspect that is uncommon in the market and allows firms to overcome the competitors in the race. Corporate Social Responsibility works as the source of gaining a competitive advantage in the market. According to Grover (2014), Firms can attract customers, satisfy stakeholders, reatain employees and promote CSR as the main strategy of their marketing campaign. Therefore, firms can gain more attention and praise than their competitors through the proper utilisation of CSR. The planning and implementation of CSR must be effective so that the contribution of the firm is noticed by all to gain a competitive advantage. Brand Awareness: Brand awareness indicates the level of recognition of a brand among the customers and how people think of the firm by hearing its name. According to Blaszkiewicz (2017), Corporate Social Responsibility can help firms gain brand awareness which is important for increased sales and profitability. The process can also make a negative impact on people’s minds. For example, Volkswagen promoted environment-friendly cars but knowingly avoided the emission control regulation which actually harms the environment so much. This led to so many criticisms and lower market value. Therefore, it is important for companies to be honest with their CSR strategies and applications if they want to gain long-term positive brand awareness.
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