Corporate Social Responsibility Of The Organization Essay


Discuss about the Corporate Social Responsibility.


Corporate Social Responsibility of the Organization

Today's consumers and stakeholders hold firms to a higher standard because they look more than physical products and the quality of services provided. This happens when aligning with a particular company and deciding to work with it or invest. The reason for such is because they expect not only a profit but also to operate responsibly by addressing environmental and social issues (Werther Jr. & Chandler, 2010). Recognizing the essence of corporate social responsibility to the stakeholders and customers has now forced the firms to focus and implement various practice at the organization level. Companies such as Sony Australia has implemented corporate social responsibilities activities. Some of these practices include environmental efforts, philanthropy, ethical labor practices and volunteering (Ditlev-Simonsen & Wenstop, 2013). In essence, in the contemporary business environment, organizations have certain responsibilities which they have to participate in the society, and these responsibilities have influence in the community.

Corporate Social Responsibility

The term Corporate Social Responsibility is defined as a management concept where firms implement environmental and social concerns in the process of operating business. It also involves engagement and interactions with consumers, society and stakeholders (Asif, Searcy, Zutshi, & Fisscher, 2013). Therefore, CSR can be understood as strategies applied by management to strike a balance of its social, economic and environmental imperatives while also addressing stakeholders’ and shareholders’ expectations (Clapp & Rowlands, 2014). There are various theories used by management to implement and sustain corporate social responsibility in the organization. The focus of the report is Sony Australia and various models will be critically analyzed to understand the issue (Frynas & Stephens, 2014).

Theoretical Background

There are numerous theories which explain corporate social responsibility efforts and strategies by organizations. These approaches include SCR theory, instrumental, integrative and ethical. In relation to corporate social responsibility, the firms has particular obligations to satisfy to the society and therefore, the organizations need to perform business activities by focusing on the different stakeholders. CSR program is a necessity that boosts the group success. The report analyses four theories applied to help develop and propel the image of a socially oriented organization (Servaes & Tamayo, 2013).

According to instrumental approach, companies are seen as a tools used for the generation of wealth for investors. Thus, the social activities by the corporation to the society are aimed at attaining set economic targets such as reaping profit from the sales of the product to the community (Asif, Searcy, Zutshi, & Fisscher, 2013). A close look at the model, there is a clear relationship between the organization policies directed to CSR and the economic outcomes anticipated. The programs favor social activities to achieve financial expectations and maximization of revenue. The approach as seen in Sony Corporation case applies to three approaches namely strategies for gaining competitive advantage, maximization of shareholders value, and marketing efforts related to cause.

For instance, the social investment done by the company is for the purpose of attaining competitive advantage in the market and move toward social dominance. It is also essential for the enterprise to support social activities such as tree planting, financing football clubs and others for the purpose of enhancing its competitive position in respective markets and the wealth of stakeholders. Some of the activities performed are altruistic with the aim of attracting the attention of the society (Servaes & Tamayo, 2013).

Political theory, on the other hand, argues that corporations ought to use their power to attain a great status in society. However, the utilization of authority should be the responsible way such as the use of corporate constitutionalism, corporate citizenship, and integrative social contract. These approaches utilized by the organization hold that the social authorities and responsibilities result from social power and there is an existence of a bond between the firm and society. The approaches are means to attain massive profitability and enhancing their reputation. On the other hand, corporate citizenship is of the view that organization has responsibilities similar to that citizens in the society where they operate (Asif, Searcy, Zutshi, & Fisscher, 2013; Frynas & Stephens, 2014).

The integrative theory is also a central theory which argues that firms exist for the satisfaction of the social needs. It has four approaches namely management, corporate social performance, public responsibility and stakeholder management with an objective of satisfying social demands. The essential approach is the third one as it is related to balancing the interests of key stakeholder such as the society, consumers, and suppliers. The proposal calls for the satisfaction of social demands (Asif, Searcy, Zutshi, & Fisscher, 2013). Lastly, the ethical theory argues that the organization ought to follow the right path to enhance the state of the society. The model demonstrates the group should perform fiduciary duties to the primary stakeholders, consider rights, compensation, environment and labor and working in an ethical manner (Crane & Matten, 2016).

Sony Case Study

This section explored the applicability of the theories on Sony’s corporate social responsibility. Sony’s corporate social responsibility (CSR) activities and strategies emphasize on the interests of stakeholders, consumers, and the society (Sony, 2017). According to Archie Carroll’s model, CSR programs in the organizations exists due to the interactions between stakeholders and firms. A stakeholder includes an individual or a group that are impacted by the management activities and has interest on the organization. In Sony Australia, the underlining objectives of CSR strategy is tailored toward sustainability of the company and interest of the stakeholders. The sustainability efforts have been the source of achievement and success of corporate citizenship (Ditlev-Simonsen & Wenstop, 2013). Therefore, for Sony to register long-term success in the industry, the Corporation needs to consider the interest of the stakeholders and others by ensuring they are properly accounted and recognized in the business. The same is reflected in

Sony’s CSR Initiatives

The global reach of multinational companies such as Sony’s and other business is associated with the difficulties of formulating and implementing a corporate social responsibility plans that cut across the international business environments. The following includes the stakeholders of the firm’s on the basis of prioritization in relation to corporate social responsibility by the management. The shareholders are given the highest priorities, followed by customers, employees, suppliers, business partners and local communities are accorded the lowest priority (Miles, Munilla, & Darroch, 2006).

Sony’s corporate social responsibility strategies is known to value shareholders due to their significance in the corporation. The focus of these stakeholders is to generate high revenues and business development. This is because they provide capital which is used for investment and funding business operations. The firm addresses their interests by devising ways to increase the profitability and revenues generated in a particular period. For instance, the premium pricing strategy applied by the company ensures high returns margins and sustainability is meant to optimize financial performance and operational efficiency (Sony, 2017; Ditlev-Simonsen & Wenstop, 2013).

Sony Corporation is known to prioritize its consumers in its corporate social responsibility strategy because they are essential. This is because they purchasing the organization products to satisfy their needs and wants. the company corporate social responsibility strategy is for the purpose of meeting their interests through innovation and introduction of other products in the market. Besides, the firm's sustainability efforts are meant to satisfy their interests on issues of corporate citizenship and environmental conservation in the society (Peloza & Shang, 2011). On the other hand, Sony Corporation supports their employees as it views them as a central stakeholder in the group. The company’s corporate social responsibility includes fair and competitive compensation and excellent managerial support. This factor is an indication of Sony’s corporation efforts to fulfill the corporate responsibility to meet the interests of the workers (Saeidi, Sofian, & Saeidi, 2015).

Suppliers are part of the stakeholders that has a lot of impact on Sony’s corporate social responsibility strategy and business practices. The firm recognizes their significance because they influence their operations through the supply of the raw materials for manufacture of end products. The company deals with their interests by applying managerial efforts to increase their efficiency and effectiveness of their operations (Servaes & Tamayo, 2013; Peloza & Shang, 2011). These CSR initiatives are designed with the aim of helping suppliers to expand their capacity along that of Sony. Besides, sustainability efforts are directed to both the corporation and also the suppliers. For example, Sony requires their suppliers to have satisfied certain environmental effects requirements to do business with them. Therefore, these CSR requirements are beneficial to the suppliers because they facilitate their desires to meet respective corporate social responsibilities (Frynas & Stephens, 2014).

Sony Corporation works with many business partnerships spanning across the world. For example, it works with telecommunications enterprises to distribute and promote their products such as Xperia smartphones and others. The interests of these business partners include sustaining profitable relations and also enter into mutually beneficial associations which are part of corporate social responsibility strategy and programs. Local Communities have significance influence on the firm’s corporate citizenship (Crane & Matten, 2016). For example, if there is a favorable association between the film and the host community, it leads to favorable consumer attitude toward the products and services provided by the company. The company corporate social responsibilities include satisfying their interests such as supporting community development like sponsoring festivals, sports events, and community development.


In conclusion, Sony Corporation in Australia applies corporate social responsibility plans that cater to the interests and the want of various stakeholders such as consumers, suppliers and another stakeholder of the firm. Sony emphasizes on attaining sustainability of the business while dealing with issues affecting various interested parties and interests. The paper recommends various actions aimed at improving their CSR performance and widening the reach of stakeholders. For instance, the firm can expand its social programs in all the countries where they have operations to enhance the state of its corporate responsibility, brand image, and satisfy the stakeholders’ interests.


Asif, M., Searcy, C., Zutshi, A., & Fisscher, O. A. (2013). An integrated management systems approach to corporate social responsibility. Journal of cleaner production, 56, 7-17.

Clapp, J., & Rowlands, I. H. (2014). Corporate social responsibility. The Essential Guide to Global Environmental Governance . London: Routledge.

Crane, A., & Matten, D. (2016). Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Oxford: Oxford University Press.

Ditlev-Simonsen, C. D., & Wenstop, F. (2013). How stakeholders view stakeholders as CSR motivators. Social Responsibility Journal , 9(1), 137-147.

Frynas, J. G., & Stephens, S. (2014). Political corporate social responsibility: Reviewing theories and setting new agendas. International Journal of Management Reviews, 17(4), 483-509.

Miles, M. P., Munilla, L. S., & Darroch, J. (2006). The role of strategic conversations with stakeholders in the formation of corporate social responsibility strategy. Journal of Business Ethics, 69(2), 195-205.

Peloza, J., & Shang, J. (2011). How can corporate social responsibility activities create value for stakeholders? A systematic review. Journal of the academy of Marketing Science, 39(1), 117-135.

Saeidi, S. P., Sofian, S., Saeidi, P., Saeidi, S. P., & Saaeidi, S. A. (2015). How does corporate social responsibility contribute to firm financial performance? The mediating role of competitive advantage, reputation, and customer satisfaction. Journal of Business Research, 68(2), 341-350.

Servaes, H., & Tamayo, A. (2013). The impact of corporate social responsibility on firm value: The role of customer awareness. Management Science, 59(5), 1045-1061.

SONY. (n.d.). Corporate Social responsibility. Retrieved April 27, 2017, from sony :

SONY. (n.d.). CSR / Environment. Retrieved April 27, 2017, from Sony:

Werther Jr., W. B., & Chandler, D. (2010). Strategic corporate social responsibility: Stakeholders in a global environment. California CA: Sage Publications.

How to cite this essay: