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Showing posts with label business. Show all posts
Showing posts with label business. Show all posts

Wednesday, 23 March 2011

Social Corporate Responsibility (SCR) - is it a vital part of business life now?


Well, first of all what is CSR itself?
(abbreviations are nice but since you know what they mean)

So CSR is "Corporate social responsibility (CSR, also called corporate consciencecorporate citizenshipsocial performance, or sustainable responsible business) is a form of corporate self-regulation integrated into a business model. CSR policy functions as a built-in, self-regulating mechanism whereby business monitors and ensures its active compliance with the spirit of the law, ethical standards, and international norms. The goal of CSR is to embrace responsibility for the company's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities,stakeholders and all other members of the public sphere."
The rest of the article can be read on lovely Wiki page - CSR


Actually, the more successful the business is- the healthier society is, and the healthier the society is - the more successful the business is. This interconnection is simple, clear and  suitable for everyone. The slogan of the business of the second half of the 20th century is "grow or die!" and it brought the society and the companies not only benefits, but also a lot of troubles (eg environmental), for which business is to blame. In some cases the charges are true, in others - not. 
Thus, Nestlé, the world's largest supplier of bottled water is on of the main targets of the global debate on the depletion of fresh water, although the company uses only 0.0008% of world reserves. 

To find more about the ban of Nestle Water visit Stopnestlewaters.org

What is more,people are annoyed by the too high, often unrealistic promises that companies tell the consumers, sugary-sweet declaration of missions and values  backed by completely unethical behavior of these companies (for example, in respect to its own employees).

The public is trying to influence the corporations with hundreds and hundreds of different organizations, movements, initiatives, often losing, sometimes gaining. However, the irony is that, if there were huge wins over the business, eventually that would bring society's absolutely no benefit.Actually, the weaker a business, the weaker a society.  That is still the same way of relationships, but with a "minus" sign. 
The idea of ​​corporate social responsibility (CSR), in fact, allows to rethink the relationships developed between business and society, giving them a more constructive direction.

The History

First talks about CSR began in the U.S. in 1905 when there arose the "Rotary" movement, which was based on the fact that financially successful people had to contribute to the improvement of the professional sphere and society. 90 years later, in 1995, leading companies have formed a so-called EU Initiative Corporate Social Responsibility-Europe, that unites about 50 large corporations. In 1999 the UK International Standard Accountability 1000 was designed to measure the performance of companies from the ethical point of view.
In 2000 by the initiative of the UN Secretary Kofi Annan there was created the Global Compact, calling together business and civil society to support ten principles of human rights, labor relations and the environment. Hundreds of global companies have already joined this initiative.


To find out more about the Global Compact visit http://www.unglobalcompact.org/

For the first time a project of social accountability to the public was introduced in the early 90's by a number of companies such as the UK Body Shop, American Ben & Jerry's and Canada's Van City.
This approach (CSR) gives the company an opportunity to listen and respond to the expectations of its customers.


Why use CSR if it makes the companies spend amounts of money?



Maintenance of corporate social responsibility in the company at the first stage increases the business expenses, however it's promising investment that pays off not only by a good reputation, but by the real profit. And if you add other good sides, the business benefits are obvious. These are, for example, growth in consumer trust, increased demand for company’s products and services, support of company’s activities by the local public, the competitiveness of products and finally increased profits. In particular, it is important for companies whose activities give rise to public debate, for example, industrial companies that deal with gas or oil, or companies that produce products that  directly or indirectly affect the society ( tobacco, pharmaceutical companies), as well as public companies, (i.e. mobile technologies spheres and financial spheres).

So as it is possible to find out CSR is extrmely beneficial for business.And here comes the PR.
PRofs deal with the main aim here- to create the ability of the company communicate with the audience in a proper way. Create a good brand image and cover itself from the NGO attacs.

As far as the company understands the importance of CSR it will develop in a right way.
It will gain public trust, get a good image and increase sales.Showing that the money the company gets could be spent on something really usefull for public, will create an extra bonus for the company.

P.S. And PR people will not lose their jobs at that sphere =)


Thursday, 10 March 2011

Social Marketing - a marketing for good?




Before talking about Social Marketing, it's better say what it is all about.
Lovely Wiki comes to help: "Social marketing is the systematic application of marketing, along with other concepts and techniques, to achieve specific behavioral goals for a social good."


Here is the rest of the article - http://en.wikipedia.org/wiki/Social_marketing


The term itself appeared in 1971. It happened after Philip Kotler and Gerald Zaltman published "Social Marketing: An Approach to Planned Social Change". 
The main aims are that those ideas used in marketing can be applied not just to sell goods, but to change behaviors and attitudes as well.


Such areas as environment,health,protection need people's behavioral changes.The main goal is to sell ideas to make positive changes in people attitudes towards social problems, so targeted correctly the message then bringe harvest of a long term positive change.


The grounds of social marketing stand on 4 "P's":
 
  • ProductThe social marketing "product" is not necessarily a physical offering. A continuum of products exists, ranging from tangible, physical products (e.g., condoms), to services (e.g., medical exams), practices (e.g., breastfeeding, a heart-healthy diet) and finally, more intangible ideas (e.g., environmental protection).
  • Price - Refers to what the consumer must do in order to obtain the social marketing product. This cost may be monetary, or it may instead require the consumer to give up intangibles, such as time or effort, or to risk embarrassment and disapproval. 
  • Place describes the way that the product reaches the consumer. For a tangible product, this refers to the distribution system--including the warehouse, trucks, sales force, retail outlets where it is sold, or places where it is given out for free. For an intangible product, place is less clear-cut, but refers to decisions about the channels through which consumers are reached with information or training. This may include doctors' offices, shopping malls, mass media vehicles or in-home demonstrations. 
  • PromotionPromotion consists of the integrated use of advertising, public relations, promotions, media advocacy, personal selling and entertainment vehicles. The focus is on creating and sustaining demand for the product. 


There are as well additional "P's" of Social Marketing:
  • Publics--Social marketers often have many different audiences that their program has to address in order to be successful. "Publics" refers to both the external and internal groups involved in the program. External publics include the target audience, secondary audiences, policymakers, and gatekeepers, while the internal publics are those who are involved in some way with either approval or implementation of the program.
  • Partnership--Social and health issues are often so complex that one agency can't make a dent by itself. You need to team up with other organizations in the community to really be effective. You need to figure out which organizations have similar goals to yours--not necessarily the same goals--and identify ways you can work together.
  • Policy--Social marketing programs can do well in motivating individual behavior change, but that is difficult to sustain unless the environment they're in supports that change for the long run. Often, policy change is needed, and media advocacy programs can be an effective complement to a social marketing program.
  • Purse Strings- Most organizations that develop social marketing programs operate through funds provided by sources such as foundations, governmental grants or donations. This adds another dimension to the strategy development-namely, where will you get the money to create your program?
Taken from this webpage - http://www.social-marketing.com/Whatis.html

    One of the most important role players in all that issues are the audinces. That is why it's extremely important to target them correctly as well as choose the correct type of target audience.In this case (as in many other cases) research is sesential.
    The problem is that many people don't even know about the existing problems till somebody tells them. Thus social marketing as well leads and educational role.


    Here is an example of the social marketing campaign to make my thoughts more visible.
    This video tells about the problem of immigrants and their slavery when they move from their native countries. This problem is timing not only in Europe or Asia, but in Russia as well.
    We have illegal slavery markets as well as almost all of workers who build the houses,roads,clean the streets etc are illigal immigrants.
    Education of population on the existing problem can raise the awareness and make significant changes in the problem.



    Social Marketing can play a significant role in changing attitides and behaviors. However some issues need the Government interference.
    This can be a hard task either for the government,people and companies.
    However it is always worth risking as the end result will bring benefits to everyone.

    Sunday, 27 February 2011

    The Webcast for you to enjoy - Social Media for Business

    Social Media plays an extremely important aspect of PR and any other life these days.
    Here is my Webcast,as a part of the University of Westminster assignment.
    Social Media is very important for businesses and brands as well.
    I hope this video will clear the question of what social media exactly is and how it works and helps to make a business or brand a number one activity.
    Watch and enjoy.




    Thursday, 27 January 2011

    Crisis: danger or opportunity?



    Crisis is an event that happens in every sphere. The development of the world is impossible without striking situations that can affect the industry or even destroy the business. But luckily people try to  learn from mistakes.
    However,a proverb says "it  is easier to preclude, than to cure", many actions on crisis PR and management are taken after the strike happened. These actions are taken to destroy the effects that already exist.
    However these days much attention is paid to the preventive measures and actions in the first hours/days of crisis.
    There can be 2 ways out of the situation-if use the crisis correctly and do everything wisely, crisis can become a friend,not a foe.
    After the Pepsi "syringe crisis" it has been reported that actually Pepsi bacame even more  recognisable trademark than before,the sales of Pepsi after the crisis went up rapidly and it left rival Coca-Cola behind.
    This is an example when a crisis can become an opportunity.
    The example of a bad crisis management is BP (BP spills oil).

    Actually as the crisis is a challenge for the company,it is also a gerat challenge for PR practitioners.
    Completing the role of connectors between the world and the organisation, PR profs have a lot of things to do. They have to make right decisions and right moves to overcome crisis and what is more important leave the brand audience still loyal.
    It is also a great challenge for PRos to"make a credible showing" and to support the high level of professionalism.

    These days PRos have such tool as Social Media. Actually it can also become a friend or a foe.
    With the invent of Internet and Social Mrdia platforms,news now spread even quicker than before.
    But just imagine what can happen when news is bad for your roganisation?
    In this case you should be really fast in your decisions. (See the presentation of Ogilvy below)


    PRos play an extremely important role-their decisions either save or kill the brand.
    The Chinese sign of "crisis" comes to my mind this time
    It consists of 2 concepts:danger and opprtunity. Chinese people are clever enough to understand that crisis can be both.
    So it seems that Chinese sign supports my article this time and really explains a lot.


    Here is the Presentation of Ogilvy: Social Media For Crisis Management



    Here are 2 videos from Youtube: Parodies on BP.
    That is how crisis management SHOULDN'T work