VYSOKÁ ŠKOLA FINANČNÍ a SPRÁVNÍ, O
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UNIVERSITY OF FINANCE AND ADMINISTRATION Faculty of Economic Studies Field of Study: Marketing Communication Follow-up master´s study programme in the full-time form Darina Khomenko Corporate social responsibility and its role in the public relations DIPLOMA THESIS Prague 2020 Final Thesis Supervisor: Vadim Semenenko, Ph.D., MBA Acknowledgements First of all, I would like to thank my supervisor for his significant support, important and relevant information provided, always instant feedback, whenever and whatever I asked, and his great patience. It was a pleasure and an honour to cooperate with him throughout the whole process of writing the Diploma Thesis. Secondly, I would like to express my gratitude to my parents, who gave me this opportunity and supported my decision to do a Master's degree. Declaration I hereby declare that I have compiled this final thesis on my own and all the quoted literature as well as other sources used in the thesis are listed in the bibliography. The electronic copy of the thesis is identical with the hard-bound copy. I approve that this diploma thesis is published pursuant to Section 47b Act No.111/1998 Coll., on Higher Education and on the amendment and modification of other acts (the Higher Education Act), as amended. Click here and write the Date _________________________ Abstracts The following Diploma Thesis provides a general overview of the Corporate Social Responsibility (CSR) concept and related discipline – Public Relations (PR). In this paper, the main definitions, principles, mechanisms, and models of the CSR concept are observed. The research provides the findings on the positive interrelation between CSR and PR programs illustrated by examples of the companies of different business fields. The survey conducted in the practical part was managed to test hypotheses raised. The survey results contributed to examine social attitudes towards CSR practices implementing by companies of the chosen business field. The research conclusion was made according to the findings obtained based on theoretical and practical data. Abstrakt Diplomová práce poskytuje obecný přehled o konceptu sociální odpovědnosti firem (CSR) a související disciplíně - vztahy s veřejností (PR). V této práci jsou sledovány hlavní definice, principy, mechanismy a modely konceptu CSR. Výzkum poskytuje zjištění o pozitivním vzájemném vztahu mezi programy CSR a PR prokázanými příklady společností z různých oborů podnikání. Průzkum provedený v praktické části se podařilo vyzkoušet vznesené hypotézy. Výsledky průzkumu přispěly k prozkoumání sociálních postojů k praktikám CSR prováděným společnostmi ve vybrané oblasti podnikání. Závěr výzkumu byl učiněn na základě poznatků získaných na základě teoretických a praktických údajů. Keywords Corporate Social Responsibility (CSR), Public Relations (PR), corporate reputation, corporate communications, sustainable development, brand management, responsibilities, society, stakeholders, corporate social marketing, consumer demands, environment, socially-responsible brands, CSR impact on consumers’ choice Klíčová slova Společenská odpovědnost firem (CSR), vztahy s veřejností (PR), pověst organizace, firemní komunikace, udržitelný rozvoj, řízení značky, odpovědnosti, společnost, zúčastněné strany, korporátní sociální marketing, požadavky spotřebitelů, životní prostředí, sociálně odpovědné značky, vliv CSR na výběr spotřebitelů Table of Contents ACKNOWLEDGMENTS ........................................................................................... 2 DECLARATION ......................................................................................................... 3 ABSTRACTS ............................................................................................................... 4 KEYWORDS ............................................................................................................... 5 TABLE OF CONTENTS ............................................................................................. 6 INTRODUCTION ....................................................................................................... 8 CHAPTER 1. LITERATURE REVIEW 1.1. Definition and main stages of CSR theory development .................................... 11 1.2. Principles and models of CSR in the system of corporate communications ...... 19 1.3. Social-related marketing as a mechanism of CSR implementation: its specificities and the value in brand management ................................................. 31 1.4. PR-communications and CSR: the role in positive reputation building ............ 38 CHAPTER 2. RESEARCH METHODOLOGY 2.1. Analysis method ................................................................................................. 47 2.2. Data collection ................................................................................................... 48 2.3. Data analysis ...................................................................................................... 49 2.4. Validity of research ............................................................................................ 50 CHAPTER 3. CONTENT ANALYSIS 3.1. L’OCCITANE .................................................................................................... 51 3.2. Vichy .................................................................................................................. 53 3.3. Clarins ................................................................................................................ 54 3.4. Kiehl’s ................................................................................................................ 57 3.5. Weleda ................................................................................................................ 58 3.6. Conclusion ......................................................................................................... 62 CHAPTER 4. DISCUSSION OF SURVEY RESULTS 4.1. General overview ............................................................................................... 64 4.2. Decision-making factors .................................................................................... 65 4.3. Consumer profile ................................................................................................ 69 4.4. Impact of CSR on consumers’ attitudes towards purchasing ............................. 74 CHAPTER 5. SUMMARY OF FINDINGS ..............................................................78 Limitations and recommendadions for futher research ............................................. 81 CONCLUSION .......................................................................................................... 82 BIBLIOGRAPHY ...................................................................................................... 85 INDEX OF APPENDICES ........................................................................................ 92 A. Questionnaire ....................................................................................................... 93 B. List of brands ........................................................................................................ 97 C. Socially-resoinsible skincare cosmetic brands ..................................................... 98 Introduction In the modern environment market players face increasing competition causing product differentiation complications. For this reason, the need for emotional impact is crucial. Companies have to be able to identify and meet the needs and, what is more important, the issues consumers care about and be ready to provide support at resolving the problems. Nowadays, the number of people not indifferent to social and environmental issues is raising. They actively participate in movements for social changes and environment protection, vote for providing better living conditions. Consumers are becoming to be more socially-responsible and make purchasing decisions seriously: a set of factors influencing customers' attitudes to products or brands is changing. Therefore, the way a company or brand implements socially-responsible policy starts to be important for a customer. These circumstances formed the aim of this research - to analyse the corporate social responsibility concept and review its development tendency in the system of corporate communications. Corporate Social Responsibility (hereinafter CSR) is a voluntary activity of commercial organizations aimed to improve the life quality of society and stakeholders. The key attribute of the CSR concept is that each company has responsibilities before society and the world, which go beyond the corporate interests and legal regulations. Meanwhile, the integration of CSR principles into the company's activity is based on the need to search effective non-financial risk management methods, including social and ecological risks. The main preconditions of CSR rapid development are movements of various non- commercial organizations and social groups criticizing business operations; refusal to buy the goods of irresponsible companies; active trade-union movement. Simultaneously, the tightening of environmental and labour legislation can be observed. Recently, the CSR principles have started to be considered more in-depth by scientists and business managers. Despite that social responsibility is actively implemented by the business all over the world, it has various definitions, which 8 complicate its theoretical conceptualization. It can be explained by innovativeness and active