Corporate Social Responsibility Activities Conducted by Football Clubs Playing in the Polish Top Division – PKO Ekstraklasa

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Corporate Social Responsibility Activities Conducted by Football Clubs Playing in the Polish Top Division – PKO Ekstraklasa Physical Culture and Sport. Studies and Research, 2021, 91, 1–9 DOI: 10.2478/pcssr-2021-0026 Corporate social responsibility activities conducted by football clubs playing in the Polish top division – PKO Ekstraklasa Authors’ contribution: Rafał Wysoczański-Minkowicz A) conception and design of the study Adam Mickiewicz University, Poznań, Poland B) acquisition of data C) analysis and interpretation of data D) manuscript preparation E) obtaining funding Received: 24.04.2021 Correspondence: Rafał Wysoczański-Minkowicz, Kilińskiego 12/5, 61-652, Poznań, Accepted: 01.06.2021 Poland; e-mail: [email protected] Abstract The main goal of this paper is to analyze how football clubs playing in the Polish top division approach the issue of cor- porate social responsibility (CSR). Professionalization processes in football clubs all over the world have led to the situ- ation in which they are treated as companies and must follow the same rules. The goals of companies from all industries are no longer only about generating financial profits; they also want to meet the expectations of their shareholders, which can be done through CSR activities. Strong social bonds between football clubs and local societies indicate the CSR ap- proach has massive potential for football clubs. The aim of this paper is to describe how PKO Ekstraklasa are approach- ing the concept of CSR and to answer the following questions: “To what extent were clubs playing in PKO Ekstraklasa during the 2020/2021 season active in the area of CSR? To what groups did they direct their activities?” The analysis was conducted based on data published by clubs on their websites. The results of the analysis show that PKO Ekstraklasa clubs are active in the field of CSR. However, they need to improve significantly in terms of the regularity of their activi- ties and reporting in order to become truly socially responsible. Keywords: Corporate social responsibility, football, PKO Ekstraklasa, stakeholders Introduction This article considers the topic of the corporate social responsibility (CSR) of football clubs playing in PKO Ekstraklasa during the 2020/2021 season. The main goal of this paper is to analyze how clubs have approached the issue of CSR. First, the author introduces the topic of CSR itself. Later, the author explains how CSR is related to football, describes the methodology of the research and splits the results of the analysis into three categories. Then, the author discusses the results of the analysis. At the end of the paper, there is the conclusion. The author has focused on the idea of CSR in reference to football because sport attracts great attention among societies all over the globe; therefore, CSR could be a powerful tool for improving the world in many ways. The topic of CSR in football is widespread, especially in Great Britain; however, there is not much research on CSR in Polish sport. PKO Ekstraklasa is a competition which is widely followed in Poland and attracts the most media attention of all sports. 2 Physical Culture and Sport. Studies and Research, 2021, 91, 1–9 Corporate social responsibility The literature provides plenty of definitions of CSR. The most complex one seems to be that published by PN – ISO 2600. According to that norm, CSR is “the company responsibility for its decisions and activities connected with society and environment based on transparent and ethical conduct, which contributes to sustainable develop- ment, including the welfare and healthiness of the society, takes into consideration shareholders’ expectations, is coherent with law and international norms of behavior, is integrated with organization actions and is practiced in their actions” (Odpowiedzialny Biznes [“responsible business”], n. d.). The cited definition assumes that CSR is characterized by dynamic and strategic approaches based on the continual willingness to improve an organization and cooperation with shareholders. The stakeholders are those who may have the capacity to influence or be influ- enced by a firm (Windsor, 2001). Scholars also define CSR as a positive contribution to society or the environment made through the activities of firms that do more than solely maximize their profits (McWilliams, 2015). Compa- nies are becoming more and more active with CSR, trying to combine their efforts to generate the best financial results with attention to maintaining an ethical approach to local societies and the environment. Companies have recognized that financial profits are not the only material aspect of concern, and they must also reduce the negative impact that could be made by their actions while also creating added value (Crowther & Aras, 2008). Explanations of that trend could be found in the many gains that come from implementing the policy of CSR. The Polish Forum of Responsible Business indicates the following benefits companies can experience through the long-term practice of CSR rules: − The possibility to attract investors – Entrepreneurs are more prone to invest in firms which are conducted in a transparent manner and are careful about building relationships with their environment. Investors perceive that economic credibility is strongly correlated with social credibility. − Strong bonds with both consumers and shareholders – The constant rise in the social consciousness of consu- mers has resulted in consumer decisions being more often connected with the social credibility of a company. Proficiency in CSR activities may result in consumer loyalty. − Hospitable relations with local society and authorities – Companies’ active participation in the life of local so- ciety and engaging in socially responsible activities to make long-term social investments enables organizations to run more efficiently and in a less confrontational way. The key to engaging in CSR activities may be the social perception of the company as being well-rooted in a local community; this promotes trust in the organization’s products or services. − An increase in competitiveness – Every organization active in CSR places itself in a privileged position in ga- ining a competitive advantage. Transparent CSR actions taken by companies are one of the ways to build social trust in their activities. − A rising level of corporate culture within an organization – Endeavors in the CSR field direct companies to im- prove their standards of communing with shareholders, which establishes a transparent, trust-based environment for operating an enterprise. − Gaining and maintaining the best staff – Improvement in the social appearance of a company and the rise in trust among its personnel causes them to work for the company more eagerly and for longer. In the case of small and medium companies, being active in the CSR field must drive improvement for lo- cal communities; in the case of multinational companies, these efforts must improve living standards where the company is most active. Polish football clubs are not recognizable worldwide, so they should focus on improving standards in their local communities. Football, with its capacity to bring some sense of togetherness to particular groups, could be a powerful tool for uniting and improving communities. The boards of clubs should take this issue into consideration. Although CSR is generally perceived as a positive phenomenon, over the years the concept has also gained some critics. Some scholars assess CSR as a tool to legitimize companies’ strategies without them having to hon- estly care about their shareholders and the wider environment. Those who criticize the CSR concept are not com- pletely against it; they are only trying to point out some of its flaws. For instance, Banerjee (2008) rejects the concept of a “stakeholder corporation,” which is an essential part of the boards of clubs considering fans’ views. The author claims that in the real world, the stakeholders who do not follow the agenda set by corporations are marginalized. Blowfield (2005) presents the stakeholder concept as a tool which companies can use when they want to achieve their instrumental goals. The scholar claims that dialogue and stakeholder engagement are often exploited, which is an abandonment of the noble principles of CSR. Banerjee also asserts that the idea of companies contributing to social welfare is flawed because their main feature is driven by Physical Culture and Sport. Studies and Research, 2021, 91, 1–9 3 economic need. The author gives the examples of two companies, the Body Shop and Ben & Jerry’s, both of which tried to make social investment and justice their core activity and ended up being accused of fraudulent behavior (Banerjee, 2008). Many contemporary CSR strategies have been developed to enhance interest in firms and encour- age the broader society to take part in their activities. This ultimately has an impact on the company’s financial di- mension, which puts the ethical aspect of developing CSR activities in question. Henderson, another scholar who challenges the concept of CSR, claims that the notions of CSR and sustainable development are attractive and could be a market advantage, but lack a strong foundation (Henderson, 2004). By this, the author means that many companies decide to become socially responsible solely because their competition are active in this area and may gain an edge by doing so. Critics of the concept of CSR also coined the CSR legitimacy theory, which stresses that companies are trying to ensure their actions are perceived as adequate according to the norms and principles of the society in which they
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