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Showing posts with label Corporate Social Responsibility. Show all posts
Showing posts with label Corporate Social Responsibility. Show all posts

Wednesday, February 22, 2012

(McDonald's) Corporate Social Responsibility



(McDonald's) Corporate Social Responsibility

Corporate Social Responsibility (CSR) is an important aspect of businesses around the world. Most companies in the modern world try to give something back to the community. One of their values is based on Ray Kroc’s philosophy “we have an obligation to give back to the communities that have given us so much” (Small Business Notes 2009) but is it just a marketing strategy or a corporate philanthropy? Some companies like McDonald for example used their social responsibility to back them up when a scandal rises up in the community. McDonald’s vision is to achieve enduring and profitable growth. They hope to achieve that by using this so called “social responsibility”.


            Back in the old days McDonald’s have done a few CSR but their plan are not as elaborate as today. McDonald only have CSR deeds in the child sector back in the old days and none at all in a country but with each year passing by the demand of CSR is growing and the government keep emphasising CSR on these modern days business society.  The government even give leniency to the businesses such as lower tax (Hutchings n.d.). Government play an important role in the business world today. No matter how strong the company is they will still have to abide by the rules stated by the government. Today McDonald has over a hundred CSR program and benefits for the society including their workers.
Mclibel is recorded to be the longest court case in history. It’s about two humble citizen of UK taking on McDonald. They have been brought to court by McDonald because McDonald claims that these two couple have spread rumours and lies about their goods and services. The couple named Helen Steel and David Morris are part of the London Greenpeace group (mcspotlight 2005). They claimed that McDonald is lying to the public. They said that McDonald’s products are not healthy and instead it will make you obese. They also claim that McDonald abuse their workers and abuse the animal rights. The trial takes place in UK and it takes 2 and half years to complete. The verdict is a shock. McDonald ruled that they exploit children, produce misleading advertising and responsible for animal cruelty. (Armstrong 2005)      
            The ‘McLibel’ case is a major blow for McDonald. After the case McDonald has grown relentless about CSR and keeps pursuing it in a really aggressive manner. In 5 years time McDonald came up with a lot of programs that will benefit the community, their workers and last but not least the animals. McDonald has recently launched a new program called Employee scholarship. (Mcdonalds 2010) The program basically offers scholarships to employees that excel in their studies. For now the scholarship program only available to employees in the USA. This program shows us that McDonald care about their employees especially the young and inexperienced. The economy is going through tough times, this program will benefit a lot of employees especially the ones who suffer the most from the economy downturn. This program will give chance to those less fortunate. This is a really good step for McDonald to show the public that they care about their workers and proved that they’re changing from the time of the ‘Mclibel’ case.

            Animal cruelty is increasing because the consumer rate keeps increasing at an exponential rate. A lot of Fast Food Company has been targeted by animal activist because they keep buying cattle from farmers that raise their animals inhumanely. Just a few years ago McDonald have taken the initiative and started to decrease the amount of animal cruelty committed. McDonald now has a program called ‘Global Animal Welfare Guiding Principles’ (McDonalds 2010) . It is a strict guideline made by McDonalds for their entire supplier to follow. It shows that McDonald is concern about this about this and trying to improve this problem to appeal to the society.

            Environment is a growing concern in the world. All the major businesses in the world are now arguing about the environment. If the world keeps consuming the resources at this rate, the natural resources will only lasts for another century (Fowler 2004) McDonalds tries to respond to this growing problem by using recyclable packaging. (Skinner 2010) But McDonald doesn’t stop there. They are also trying to make their restaurants greener by separating their waste, for example the left over are taken and put in a place and later it will be recycled and used as a compos. (Fowler 2004)  All of these efforts are made by McDonalds to show the world that they are doing their part in making the world greener.

The biggest SCR operation for McDonald in Singapore is in the children sector. One of the programs called ‘McCare’ (MGMT 103 Business, Goverment and Society 2008). The program is basically about McDonald’s staff visiting different children hospital. They are trying to involve the staff into the community to raise awareness in the community and to create good image. The reason McDonald targets children is because children are the main consumer of their product and children is the “thinker” in the family since the parents always follow what the children wants. If you remember some of McDonald’s commercials in the TV you will notice that there are children in all of them.

McDonald is one of the biggest reasons in why the obesity rate around the world has increased in a rapid rate. McDonald’s product especially the ‘Cheese Burger’ is reported to have a really high salt and fat content. By consuming McDonald’s food for a month it increases the salt and cholesterol content in the blood and increases your weight at an exponential rate. (Spurlock 2004) Obesity is the biggest problem for children around the world. USA is still the fattest nation in the world with Australia in the second place (OECD 2010) and still increasing. Everyone in the world blames the fast food company especially McDonald. One of their competitors is Subway. They have taken an initiative and try to sell fast food that is healthy and contain a minimum amount of fat.

McDonald tries to tackle this new competitor with releasing nutritional facts about their product. They also release a statement to the media that they promise that they will decrease the amount of salt and fat in their meals (McDonalds 2008) they will reduce it to the standard national level. Even though McDonald made such a good preparation and execution of this plan, most of the community still didn’t believe it. They still believe that McDonalds is selling high fat content food and therefore some of the customer moved over to their competitors like KFC or Burger King because they believe their food is healthier than McDonalds. But McDonald still stays strong and keeps going with their plan of making a healthier menu. The results started to show and slowly these customers are coming back to them. At the end of the day perseverance will bear fruits sooner or later.

Cancer foundation around the world has been receiving attention from all sorts of parties including the governments, big enterprises and other famous people. Cancer foundation received the most attention around the world. Each country has their own. This is a free advertising chance for the businesses around the world to complete their CSR deeds. McDonald Extend their helping hand to the breast cancer foundation (find articles 2006) McDonald is trying to support this kind of foundation it’s not for good social status only but also an advertising reason. But they are not the only one benefited from this. The people in the foundation also benefited since they will receive a massive amount of charity money to take care of their ‘unlucky’ members. This is a mutual relationship both parties are benefited from this. More and more cancer foundation around the world receives this kind of attention and money. These kinds of foundations in the world today are the kind of free advertising element that all of businesses are looking for. It’s free and increases the social popularity in the community.  
           
            Overall McDonald has done a massive amount of CSR compared to their competitor like Burger King (Hungry Jacks in Australia), KFC or Taco Bell. Even though their true intention is for marketing purposes, that doesn’t mean the public doesn’t get any benefit from it. For example the breast cancer foundation they receive a lot of benefit from McDonald. They receive an inconsiderable amount of cash so they can help the members of the foundation. McDonald also extending their hand to the less fortunate children with the ‘McCare’ program. The people in the foundation or in the program is really great full of the support that McDonald have given them in return they pay McDonald back by saying good words about them to the community. Over all McDonald helping others with the expectation of getting something back like popularity or good status. At the end of the day money is still the driving force of businesses in the world. If their plan have no profit it will never be done in the first place.






















Bibliography


Mclibel. Directed by Franny Armstrong. 2005.
find articles . july 21, 2006. http://findarticles.com/p/articles/mi_qn4182/is_20060721/ai_n16670746/ (accessed APRIL 14, 2010).
Fowler, Jonathan. Common Dreams . 2004. http://www.commondreams.org/headlines04/1021-02.htm (accessed april 14, 2010).
Hutchings, Katherine. "Basic Concepts." 11-27.
Mcdonalds. 2010. http://www.mcdonalds.com/usa/good/people/scholarship.html (accessed april 14, 2010).
McDonalds. 2008. http://www.mcdonalds.ca/en/food/reducing_tfa_facts.aspx (accessed april 14, 2010).
McDonalds. McDonalds. 2010. http://www.mcdonalds.com/usa/good/products.html (accessed april 14, 2010).
mcspotlight. 2005. http://www.mcspotlight.org/case/trial/story.html (accessed april 14, 2010).
"MGMT 103 Business, Goverment and Society ." Executive Summary , 2008.
OECD. Nation Master. 2010. http://www.nationmaster.com/graph/hea_obe-health-obesity (accessed April 14, 2010).
Skinner, Jim. Global Best of Green. Executive summary, McDonalds, 2010.
Small Business Notes. 2009. http://www.smallbusinessnotes.com/history/quotations/author/kroc.html (accessed april 13, 2010).
SpannerFilms. Mclibel. 2007. www.mclibel.com (accessed april 12, 2010).
Super Size Me. Directed by Morgan Spurlock. Performed by Morgan Spurlock. 2004.



Proposal for Nestle (Corporate Social Responsibility)



Proposal for Nestle (Corporate Social Responsibility)

Executive Summary


To: Board of Directors,

Nestlé is committed to manufacture and market its products in a way to create value that can be sustained over the long term for shareholders, employees, consumers, business partners and the national economies in which they serve. Nestlé is committed to respecting human rights in their business activities and to avoid in human rights violations. This is understandable, as Nestlé do not want to be involved in an unbeneficial position. √

Nevertheless, Nestlé can do more to serve the needs of different people as a mean to create harmony in the society. To improve corporate social performance of Nestlé, the key target area identified is to further serve the disabled, aged and the underprivileged. Presenting Nestlé Project 3Es, it aims to Engage the public to Enrich and Empower the disabled, aged and unprivileged in the Singapore society.

Detailed action plans and models are exemplified in the report. It highlights key actions Nestlé could well follow to ensure success of this project. Presented are the budget plans and analysis reports as attached in the Annex.

The success of this project Nestlé 3Es will ensure increased public confidence, especially crucial for an international organisation such as that of Nestlé.For your perusal, Sir

 

Yours Sincerely,
The SG Consultancy Group
Dated 10th May 2010


 

1. Introduction


The SG consultants are appointed to assist Nestlé to fulfil corporate citizenship commitments without compromising their business stance. The proposed program is Nestlé project 3E’s, which aims to Engage the public to Enrich and Empower the disabled, aged (the elderly) and unprivileged in the Singapore society.

The current proposal involves an Action Plan that enables Nestlé to contribute to the host community by impacting and edifying the related people. This project involves Nestlé to create an unique prototype that embodies Nestlé’s values, encouraging sustainable development and empowerment to the people. This approach will be pilot tested in Singapore and will serve as a pivotal platform for future developments.
                                                                                       

2        Host Countries and Stakeholders involved


(i)      Aged

Research has shown that senses are lost and disability increases as people aged (Cuellar & Paniagua, 2000). Statistics show that the Singapore population above 65 years old increases from 312,000 in 2000 to an estimated number of 796,000 in 2030 (Phillips & Chan, 2002). This shows that Singapore is becoming an aging population and there needs increasing emphasis on the society to be more embracing. As Nestlé believes in improving nutrition and human rights, the project 3Es epitomises its mission to “ helping people live a better life” (Nestlé Research Centre 2009).

(ii)   Visually Handicapped / Disabled


Visually handicapped are people whose cause of blindness are congenital or due to accidents (Singapore Association of the visually handicapped, 2009) (Yadav 2001). The disabled are categorised under disability in the five senses (Disabled World Disability and Healthy News, n.d.) . Both require help in groceries and this program will address their constraints for ultimate shopping experience by introducing them the concept of Braille advertising.

(iii)  Underprivileged
The underprivileged refers people who are deprived of opportunities that will limit their progress in life. As Singapore relies on human resource, every Singaporean should contribute to society in different ways (Sim 2005). Nestlé is tasked to bring out the best potential in these people by providing aid.√

3.       Action Plan


To improve the standard of living of the aged, underprivileged and the disabled, the following five phrases of Action Plans are proposed:
3.1    Phase 1 – Nestlé’s alignment of its products to champion 3Es movement

(a)                Target Group

(i)      Target people 1: Visually Handicapped

Nestlé should come out will a new labelling packaging on its most popular breakfast cereal product called ‘MILO’ by creating a Braille language design on the product packaging  (Moore, Graves and Boland P 1997). This will benefit the visually handicapped as they distinguish Nestlé products from other similar products by simply touching the 3D packaging word.
           
(ii)   Target People 2: Aged people
Nestlé should introduce a series of breakfast products mainly to target the aged people. Breakfast is very essential to start a day, so likewise for the aged, they should not be left out  (Webster 1995).

(iii)          Target People 3: Underprivileged children
Nestlé should continue to establish its breakfast series for the underprivileged children by creating more enticing breakfast cereals  (Fiske, Gilbert and Lind 2010).√

(b) Implementation of Braille Technology
In creating a Nestlé Logo (Figure 1) that incorporates Braille, Nestlé can engage students nationwide in a Logo-making competition. The winner of the competition can cooperate with Curtin Marketing Department to promote new Nestlé labelling products, firstly through the school and finally to the public. Nestlé can work with Curtin Singapore and SAVH to develop the new proposed packaging feature and project 3Es programs. The focus of the project is to help the visually handicapped eventually to gain self-confidence through Nestlé products.√

(c) Representation of the aged and underprivileged
Nestlé should engage the aged and underprivileged through its promotions. This can be done through engaging them as models of Nestlé’s products or their corporate magazines. Staff employees can designate a day once every week to volunteer at Touch Communities either by bringing them out for leisure activities. In the process, they will be introduced to Nestlé products, which are specially catered for their specific needs. It is hoped that the aged and underprivileged are assisted with schoolwork, support groups and essential skills.√


3.2      Phase 2 – Establish firm relations through collaborations

1.            Collaborating with governmental bodies such as MCYS (Ministry of Community Development, Youth and Sports), HPB (Health Promotion Board) to create awareness of the needs of the aged, disabled and the underprivileged.  This can be done through the media avenues by educating the public.
3.3      Phase 3 - Implementation of community development projects

(i) Associates Involved:
-Strategic Marketing Managers
Nestlé’s representative from the marketing department will fill this position and will preferably have qualifications in business and marketing backgrounds from reputable local universities such as National University Of Singapore. This person will plan, coordinate and forecast marketing strategies, which will chart the progress of projects such as 3Es. An exemplar report is shown in Annex B. He will assist Nestlé in formulating strategies that will rival competitors so as to gain competitive advantage.

-Corporate Management Support
This position will most likely come from Singapore. He will need to work closely with the Strategic Marketing Managers to plan, coordinate and forecast strategies that will ensure the success of the 3Es project.

-Manpower from SAVH (Singapore’s Association of the Visually Handicapped)
In order to help the visually handicapped more efficiently, SAVH’s staff and volunteers can liaise with Nestlé employees, whom will serve to assist the visually handicapped efficiently. √

3.4      Phase 4 – Outcomes Evaluation

The tripartite group consisting of SAVH, Nestlé and the government will form the basis of communication across all projects done.

3.5      Phase 5 - Accountability
Nestlé can coordinate with IPOS (Intellectual Property Office of Singapore) to ensure the product is ensured copyright. Since SAVH shelters most visually handicapped people in Singapore, they can liaise with SAVH to ensure the success of the prototype. SAVH representatives can report outcomes to stakeholders including the Nestlé Board of Directors, the host community, and the government. Reporting will include presentations and publications.√
3.6      Phase 6 – Sustainability Planning

The sustainability of the project is actualised in a report shown in Annex B. Nestlé can work with SAVH to further improve on the products to identify other improvements beyond the surface level of helping the visually handicapped. Further collaborations can serve as outreach projects to the visually handicapped. √

4.       Feasibility of Program and Challenges to Implementation

4.1      Creating the Braille Design

The idea of the Braille proposal aims to design an image that will help the visually handicapped in differentiating Nestlé products from other similar products. It is hoped that Nestlé can contribute to the society through integrating the visually handicapped into the mainstream society by allowing the visually handicapped to shop better. This can be done through the promotion of Nestlé own products. Although acknowledged that there are more convenient methods to shopping such as online shopping, this is essentially Nestlé’s promise to the visually handicapped to social integration, regardless of disability (Jose and Sachdeva 2009).√ (good idea to render respect and dignity to the persons with visual impairment)

5.       Benefits to the Host Communities


Through the successful implementation project 3E’s, the following benefits to the host community will be realised.
5.1      Empowerment of product

The basis of patenting the Braille as a form of trademark is a novel idea for Nestlé. It can serve as a marketing strategy for Nestlé as this form of advertising is not used at all in the market, thus boosting Nestlé’s image as a creative and efficient company. With the program Nestlé will prove to the public that they hold the values of their business.
5.2      Nestlé’s enhanced credibility to embrace human right

Nestlé can adhere to this created slogan: “At Nestlé’s it’s the individuals that we care for”.
               

6.       Benefits to Nestlé


Nestlé can achieve an improved social standing, which favours Nestlé’s reputation when conducting future business operations in the region.√

Nestlé can engage in shareholder activism as a form of corporate commitment to the cause that 3E Project advocates- to raise the standard of living of the aged, disabled and the underprivileged. This creates an inclusive environment where everyone has roles to provide a conducive environment for the abovementioned people.

Through the dissemination of information of the 3Es Project, Nestlé can enhance its core values and improve on its reputation as a credible and caring organisation among its international counterparts of companies. This is essential in reducing Nestle’s negative publicity by painting a positive light while it commits to project 3Es.

Nestlé can gain a competitive advantage over its competitors by dominating market share. This happens when Nestlé caters its products to all walks of life through a comprehensive plan as abovementioned. √

7.       Conclusion


The development of 3Es initiatives will directly benefit the Singapore community, including Nestlé and its stakeholders. This proposal covers most problems faced in contemporary times and despite the challenges posed, the success of implementing this proposal will significantly promote better cohesiveness and integration in Singapore. Nestlé will benefit greatly as it will essentially help in the sustainability of the company in terms of publicity and its products.
Most importantly, Nestlé’s commitment to the project will be a display of confidence and belief system for the related people.
√√  (Word Count?)












Reference List:



Disabled World Disability and Healty News. n.d. http://www.disabled-world.com/disability/types/ (accessed May 4, 2010).2009.

Cuellar, Israel, and Freddy A. Paniagua. Handbook of the multiculture mental. Academic press, 2000. http://www.pharmabraille.co.uk/braille-alphabet.html (accessed May 2, 2010).

Fiske, Susan T, Daniel Gilbert, and Gardner Lind. Handbook of Social Psychology, 5th Edition, Volume One. John Wiley&Sons, Inc,.Hoboken,New Jersey., 2010.

Sim J, Boon-Yee. " Citizenship Education and Social Studies in Singapore: A National Agenda" International Journal of Citizenship and Teacher Education Vol 1, No. 1, July 2005

Jose R, Sachdeva S. Community rehabilitation of disabled with a focus on blind persons: Indian perspective. Indian J Ophthalmol 2010;58:137-42

Moore, J.Elton, William H Graves, and Jeanne Boland P. Foundations of rehabilitation counseling with persons who are blind or visually impaired. AFB Press, 1997.

Phillips, David R., and Alfred C.M. Chan. Ageing and long-term care:national policies in the Asian-Pacific. Institute of South Afica Studies, 2002.

Satyender Singh Yadav "Disability and Handicap among Elderly Singaporeans" Singapore Medical Journal Vol 42 (8) p 360-367 

Singapore Association of the Visually Handicapped. June 15, 2009. http://www.savh.org.sg/about.php (accessed MAY 2, 2010).

Social Report of Nestlé Rossiya LLC. June 2009. http://www.Nestlé.com/Resource.axd?Id=00B5F8F9-199D-4036-9A27-4E0C955F90F9 (accessed march 2009, 2010).

The Braille Alphabet. 2009. http://www.pharmabraille.co.uk/braille-alphabet.html (accessed May 2, 2010).

Webster, Kathryn. "Breakfast cereals." Nutrition & Food Science (MCB UP Ltd) 95, no. 5 (1995): 35-41.


 

 




Annex A: Authorship Listing



TASKS                                                                                   Authorship Listing


Executive Summary/ Introduction                           ALL MEMBERS CONTRIBUTED


Host Countries and Stakeholders Involved          ALL MEMBERS CONTRIBUTED


Action Plan                                                                         ALL MEMBERS CONTRIBUTED


Feasibility                                                                           ALL MEMBERS CONTRIBUTED


Challenges                                                                         ALL MEMBERS CONTRIBUTED


Benefits to Host Community                                      ALL MEMBERS CONTRIBUTED


Benefits to Nestlé                                                           ALL MEMBERS CONTRIBUTED


Conclusion                                                                         ALL MEMBERS CONTRIBUTED


Reference List                                                                   ALL MEMBERS CONTRIBUTED




Proposal for Shell (Corporate Social Responsibility)



Proposal for Shell (CSR)

Executive Summary

Shell is one of the largest oil producers in the world, and Shell Nigeria is one of the main production force of the company. Of oil extraction in Nigeria, 80% of it is from the Niger Delta region in the country. Being rich in oil revenue, it is one of the main reasons for turning the area into a place of poverty, exploitation and unrest.
Over the years, many environmental problems surfaced in the region, what used to be a rich biodiverse ecosystem has been destroyed due to the marine pollutions caused by oil spills from oil production operations and oil leaks from old and corroded pipelines.
These environmental problems have caused animals and fishes to die due to poisoning. Crops cannot be cultivated due to poisoning and cancerous chemicals being released into the air.

Proposal for Ikea (Corporate Social Responsibility)



Proposal for Ikea (CSR)

1. Executive summary  

The focus of business has changed as it is no longer based on benefit only but also to return the profit to the social. CSR is a strategy to leapfrog from excellence to preeminence to the company, it achieve a win-win situation between stakeholders and company. The core value of the CSR vision is to make environmental and also social responsibility. A company with CSR will able to attract talented people thus leading to incensement on profits and productivity. It also increases shareholders value of company due to the good practices and establishment in the company.
In the contrast, CSR may not be an advantage to company during economic downturn as the company is fighting for survival; they don’t have extra money and time to spend on unnecessarily goods.

Proposal for Nike (Corporate Social Responsibility)





Executive Summary
To: Board of directors
This proposal reflects on the long term strategy recommended for Nike in order to improve the corporate social responsibility and a short term strategy plan for the improvement needed for Nike. The long term strategy plan would targets on the child labour of Nike face today. The consultation team has come out the program call “Human Relief Aid (HRA)” to solve child labour and benefit to the stakeholder. Nike will request student to designed t-shirt which meanwhile developed their own creativity. These designed t-shirt will sell to the public and 30% of the t-shirt income will put aside to reduce child labour. To sustain HRA, consultation team has come out with 2 years program in which; in the final year, consumers can claim a gift for recognition by supporting this program. Although this particular plan will still face some challenges but still the benefit of implementing this program will still easily overcome the situation and also the challenges faced. On the other hand, Nike would also gain a good reputation for providing aid to the communities globally. Lastly, it is recommended that this particular proposal would take in consideration for Nike for a long and short term of strategy for social improvement. √

(Nestle) Corporate Social Responsibility



(Nestle) Corporate Social Responsibility

Introduction

Corporate generally have to meet ethical, legal, commercial and public expectations. That is what expected of the business world today. This is known as the Corporate Social Responsibility (CSR).However, business with short -term goal will rarely practice it (CSR) since practicing it does not bring any benefit. On the contrary, the practice of CSR is an important consideration for long-term investment as it can help generate more profit in the future. In this report, Nestle would be one of the good examples to illustrate those concepts.√(good introduction)
Nestle is one of the world’s largest food and beverage company. They believe that by creating value for the shareholder and the public, they will have long-term sustainability. Nestle worked hard to ensure that both employees and employers welfare. Other forms of CSR aspects are employee safety, environmental problems, and education. √ (excellent analysis)

(Nike) Corporate Social Responsibility



Nike (Corporate Social Responsibility)
Introduction

Nowadays, the concept of business is not longer the same as it has moved from focusing profitability to the concept of Corporate Social Responsibility (CSR) by benefiting the society with their profit earned. CSR is about how companies manage the business processes to produce an overall positive impact on society. (MallenBaker)The number of companies such as Nike reporting their social and environmental influence on social has risen immeasurably. (Fraser 2005) Company should aware of existing standards and global initiatives as they relate to CSR and use it to measure Company’s performance.(Nieuwlands 2003) Later on, the changes of Nike will be shown from the history until today. It is widely known as a world leading brand of sport shoes and sports outfit.

(Coca-Cola Company) Corporate Social Responsibility



Corporate Social and Environmental Issues of Coca-Cola Company

Since the millennium, businesses need to operate within a social environment and such boundaries pose a threat to businesses role of profit-making as there is a presence of a trade-off. For that reason,  social goals are often placed peripherally to profit-making (Davis 2005). The challenge in society now is to juggle between profit-making and being socially responsible (Barnett and Salomon 2006).  This is illustrated by the adherence of Corporate Social Responsibility (CSR). It is defined as the commitment of business to meet ethical, legal, commercial and public expectations (Dahlsrud 2006). In United States alone, Coca-Cola is the largest manufacturer, distributor and marketer of non-alcoholic beverages (Coca-Cola 2009). This paper examines how Coca-Cola, which offers more than 400 brands in over 200 countries and serves 1.6 billion servings each day (Coca-Cola 2009), have performed in relation to the environment. Their conduct in addressing issues like water stewardship and animal testing will reveal both strengths and weaknesses in their operations and their eventual impact on the society and stakeholders.

(McDonald’s) Corporate Social Responsibility



McDonald’s (Corporate Social Responsibility)

            Corporate Social Responsibility (CSR) places an important role nowadays for business purposes. Basically, CSR is a long term growth investment where the company manages its business process by concerning positive impacts on society. McDonald is one the global company where it’s CSR becomes a crucial part in the industry. McDonald’s corporation is consider one of the largest fast food chain in this world which specialise in selling hamburgers, french-fries, and soft drinks. It remains the industry leader with more than $15.9 billion in sales and more than 11,000 units in the United States. (Gerald, V. 2003). In 1940, the first McDonald restaurant was set up by the two brothers who name Richard and Maurice McDonald in San Bernardino, California. (McDonald Brothers, 2007). Due to their famous hamburgers selling at a nominal price of 15 cents, it gradually attracts teenagers. Hence, a businessman name Ray Kroc who was meanwhile the first businessman who applies the principles of mass production in a service industry then realized that one of his largest customers in California based restaurant was owned by the McDonald brothers. He convinced the owners to make him their exclusive agents in order to expand their business outside California. Hence, they begin expand their franchise outside the USA in 1967 until now. Today, McDonald had successfully strengthened their foundation. The aspect of McDonald corporate performance in this society had place a large impact on highlighting both areas of achievement and moreover, there will still be some improvement needed to this particular company.

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