- by Sara Khan
Corporate Social Responsibility & Your Brand
University of Cape Town Professor, Ralph Hamann argues that complex social and environmental problems can be addressed if businesses start taking into consideration the impact and sociological context of their various decisions and strategies (African Business Review). Sometimes, a deed performed in the name of Corporate Sustainable Responsibility can directly be related to the nature and brand of the company. There are a lot of environmental and social threats to businesses, today. These threats will continue to grow if steps in the right direction are not taken. At the end of the day, practicing Corporate Social Responsibility will benefit the company itself, if aligned to its goals and mission. Moreover, consumers today understand and value the importance of sustainability and the merits of good governance.
A study carried out by CSRHub (an organization that provides
corporate social responsibility and sustainability ratings for companies),
shows that correlation more than doubled in strength between CSR and Brand
Strength from 2011. 1000 companies were analyzed for 2012, and the correlation data
suggests that 28% percent of Brand Strength is related to CSR Performance
(Triplepundit). This is because consumers many times value a company based on the activities it carries out, outside its business’ realm.
According to the 2013
Cone Communications/Echo Global CSR Study shows that 67% consumers in India are
“very likely” to switch brands in favour of those that support a cause. Also,
94% Indian consumers say they would tell their friends and family about a
company’s CSR efforts, thus increasing their presence and recognition as a brand.
Citizens in emerging markets, such as India embrace CSR enthusiastically and
are associating themselves with companies that address social and environmental
issues (Holmes Report).