The Impact of Corporate Social Responsibility Practices on Corporate Image of the Organization

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Table of Contents

Introduction        2

Need for study        3

Conceptual model        3

Hypotheses        4

Research Methodology        4

Sampling procedure:        4

References        7

Introduction

India is the first country in the world to make corporate social responsibility (CSR) mandatory, following an amendment to The Company Act, 2013 in April 2014. Businesses can invest their profits in areas such as education, poverty, gender equality, and hunger. Corporate social responsibility (CSR) programs has experienced unprecedented growth in India, with the actual CSR spend increased by 20% on year on year basis [1]. Despite the popularity of these initiatives little is known about their effects on consumers.

The research studies the relationship of CSR practices followed by the companies and their corporate image among the consumers. The study aims to evaluate India’s 4 of the top 10 companies by CSR spendings – Reliance Industries(659 Cr.), ONGC(526 Cr.), Tata Group and ITC(276 Cr.)[1] by using one component of dual process model by Prabu David(2005)[2]. From the review of the literature, a number of typical CSR initiatives were identified and grouped under three categories:

(a) Moral/ethical practices

(b) Relational practices

(c) Discretionary practices.

 These categories are by no means exhaustive, yet they capture the essence of most mainstream CSR practices and seem to be most relevant for public relations practice.

Need for study

• Even when all the corporation invests some percentage of its profits on CSR activities, little is known about their effects on consumer. Due to which there is need for more research to understand the value of a corporate image and the value of being seen as a corporate “good guy”.
• Lack of sufficient research on CSR practices in India especially after digitization and social  media.

To address this gap, our study is to find out the effect that CSR activities of a corporation have on the attitude of people towards corporate image.

Conceptual model

CSR PRACTICES[pic 2][pic 3][pic 4]

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Figure 1: Conceptual model

Hypotheses

Table 1: Hypothesis Table