The Practice of Corporate Social Responsibilities in the Brewery Industry (A Case Study of the Nigerian Breweries Ama Enugu)
Chapter One
OBJECTIVES OF THE STUDY:
In this study, the following objective are formed.
1) To determine if brewery industry are social responsible
2) To find out whether corporate social responsibility practice of brewery industries use to increase customer patronage.
3) To determine the impact of social responsibilities on profit of brewery industry.
4) To find out the feelings of consumers
5) To find out the problems encountered by brewery industries in carrying out social responsibilities
6) To offer solution on how to use corporate social responsibilities for improving customers patronage.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
Corporate Social Responsibility
Corporate Social Responsibility (CSR)
Companies or corporations are facing increasing demands that, they look beyond their own interests and prioritize those of the societies in which they operate (Broomhill, 2007). The notion that, business enterprises have responsibilities to society beyond that of making profits for shareholders has been around for centuries (Carroll, & Shabana, 2010). This is because businesses host their operations within society, and in return, society expects business to show responsibility for aspects of their operations (Bichta, 2003). It is no longer acceptable for a firm or corporation to experience economic prosperity in isolation from the stakeholders within its immediate and as well the wider environment (D’Amato et al., 2009). Accordingly, the quality of relationships that an organization has with its employees and other key stakeholders (e.g., customers, investors, suppliers, public and governmental officials, activists, and communities) is crucial to its success. Corporate Social Responsibility (CSR) can be understood as an integrative management concept, which establishes responsible behavior within a company, its objectives, values and competencies, and the interests of stakeholders (Meffert & Münstermann, 2005). It refers to a business system that enables the production and distribution of wealth for the betterment of stakeholders through the implementation and integration of ethical systems and sustainable management practices (Frederick, 2006). Furthermore, CSR refers to the responsibility of enterprises for their impacts on society; and the consequences for the integration of social, environmental, ethical, human rights, and as well consumer concerns into business operations and core strategy, in close collaboration with stakeholders (European Commission, 2011). The concept of social responsibility is often expressed as the assumption of voluntary responsibilities that go beyond the purely economic and legal responsibilities of companies (Joseph, 1963:144; Henry & Henry, 1972:5). It also refers to the voluntary activities or policies that organizations engage in for the purpose of causing positive social change and environmental sustainability (Aguilera et al., 2007). More specifically, CSR refers to the selection of institutional objectives and evaluation of results, not only by the criteria of profitability and welfare organization, but by the ethical standards or judgments of social desirability. In this view, the exercise of social responsibility must be consistent with the corporate goal of earning satisfactory level of benefits, but also implies a willingness to relinquish some degree of benefit, in order to achieve non-economic objective (John, 2003:373). Also, the concept of CSR has generated considerable debate in recent decades. On the one hand, one view holds that, the sole purpose of business is profit. Friedman (1970:32-33) stated that the resources devoted to CSR are better spent, from a social perspective, if they increased firm efficiency. Carson (1993:3-32) explained that, managers are put in the place of unelected officials, when they participate in CSR, hence support has been significantly provided to the concept of corporate social responsibility. Davis (1974:19) argued that, the public visibility of corporate actions are necessary to become socially responsible managers and that companies, as an essential component of society, has a responsibility towards the solution of social problems.
CHAPTER THREE
RESEARCH METHODOLOGY
INTRODUCTION
In this chapter, we described the research procedure for this study. A research methodology is a research process adopted or employed to systematically and scientifically present the results of a study to the research audience viz. a vis, the study beneficiaries.
RESEARCH DESIGN
Research designs are perceived to be an overall strategy adopted by the researcher whereby different components of the study are integrated in a logical manner to effectively address a research problem. In this study, the researcher employed the survey research design. This is due to the nature of the study whereby the opinion and views of people are sampled. According to Singleton & Straits, (2009), Survey research can use quantitative research strategies (e.g., using questionnaires with numerically rated items), qualitative research strategies (e.g., using open-ended questions), or both strategies (i.e., mixed methods). As it is often used to describe and explore human behaviour, surveys are therefore frequently used in social and psychological research.
POPULATION OF THE STUDY
According to Udoyen (2019), a study population is a group of elements or individuals as the case may be, who share similar characteristics. These similar features can include location, gender, age, sex or specific interest. The emphasis on study population is that it constitutes of individuals or elements that are homogeneous in description.
This study was carried to examine the practice of corporate social responsibilities in the brewery industry. Nigeria breweries Ama, Enugu form the population of the study.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
INTRODUCTION
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of eighty (80) questionnaires were administered to respondents of which only seventy-seven (77) were returned and validated. This was due to irregular, incomplete and inappropriate responses to some questionnaire. For this study a total of 77 was validated for the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was to ascertain the practice of corporate social responsibilities in the breweries industry. In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of the practice of corporate social responsibilities in the breweries industry
Summary
This study was on the practice of corporate social responsibilities in the breweries industry. Three objectives were raised which included: To determine if brewery industry are social responsible, to find out whether corporate social responsibility practice of brewery industries use to increase customer patronage, to determine the impact of social responsibilities on profit of brewery industry, to find out the feelings of consumers, to find out the problems encountered by brewery industries in carrying out social responsibilities and to offer solution on how to use corporate social responsibilities for improving customers patronage. A total of 77 responses were received and validated from the enrolled participants where all respondents were drawn from Nigeria breweries industry ama Enugu. Hypothesis was tested using Chi-Square statistical tool (SPSS).
Conclusion
The selected organisations have carried out different aspects of corporate social responsibility especially donations and construction of infrastructural facilities in different areas including education, health, and construction. They have also carried out programmes in the areas of sponsorship and care for the environment. Their activities are in tandem with the modern trend in corporate social responsibility where the stakeholder model is preferable to the shareholder model. This makes another contribution to the elongation of the rejection of the position of the economist, Milton Friedman that the only responsibility of business is to maximise profit for the shareholders and not to spend money in the interest of any stakeholders. This study has brought to the fore that businesses are not just economic institutions but also social institution that should care for the wellbeing of the communities where they operate.
Recommendation
It is recommended that corporate organisations in Nigerian should invest more in the area of corporate social investment as a form of corporate social responsibility. Corporate social investment is the practice where an organisation invests in the business of its stakeholder in order for the stakeholder to remain in business thereby ensuring the continued operations of the organisation that invested in the business of the stakeholder. Corporate organisations in Nigeria are lacking here. It is possibly for this dearth that the people are complaining against their operations in the society. By carrying out corporate social investment as a CSR programme, they will underline the belief that it is better to teach a man how to fish rather than giving the man fish. It will also be in agreement with Kolade (2005) that corporate social responsibility should respond to the real needs of people and the society. This is underlined by Osho and Alakija (2008) that businesses should be proactive in their CSR practices and that businesses must meet the needs and aspiration of their stakeholders. Corporate social investment will ensure that communities made inputs to the CSR activities thereby remove the disconnect between the organisations and the stakeholders as submitted by Oso (2008). With this, sustainability of the projects will be ensured and the problem of the study will be resolved. With this, the communities will have many small and medium scale businesses which will in the long run increase the number of organisations that will be providing corporate social responsibility activities for the communities. This is because small and medium scale businesses will also contribute their quotas to the development of the communities thereby bringing to the fore the strategic contributions of the selected companies to the society. Additionally, it will make them not only to have better brand equity but also wove them into the fabrics of the society thereby ensuring their sustainability. This is the way forward.
References
- Adamolekun, W. & Ekundayo, T. (2007). Interactive public relations. Ibadan: Spectrum Books Limited
- Adeleke, J. A., Adinlewa, T. & Ojih, S. E. U. (2018). Corporate social responsibility in rural development, sustainable agriculture and food security in Nigeria. In Asemah, E. & Popoola, M. (Eds.) Corporate social responsibility and sustainable development in a changing world (pp. 170-184). Ilishan-Remo, Nigeria: Babcock University Press.
- Akinbola, A. (2010). Built to endure: How purpose-driven organisations use reputational capital to achieve strong brand equity. Nigeria: BrandStewards Nigeria Limited.
- Akinbola, A. (2005). Building enduring corporate reputation: A contemporary perspective on sustainable organisational growth. Lagos: Fundem Nigeria Limited.
- Anaeto, S. G. & Oni, O. O. (2018). Corporate social responsibility and sustainable Economic growth for Nigeria. In Asemah, E. & Popoola, M. (Eds.) Corporate social responsibility and sustainable development in a changing world (pp. 118- 130). Ilishan-Remo, Nigeria: Babcock University Press.
- Ani-Mumuney, F. & Omamegbe, I. I. (2019). 125 years of nation building: A heritage of sustainable impact. Lagos: FBN Holdings.
- Bhasin, H. (2020). What is stakeholder theory strategy? Retrieved from https://www.marketing91.com/what-is-the-stakeholder-theory/ Channels Television. (2020).
- Oyeyimika Adeboye on Kaleidoscope. Nigeria: Channels Television. Ijwo, A. O.& Terfa, N. (2018). Corporate social responsibility of Dangote Cement Plc, Gboko Plant, Nigeria. In Asemah, E. & Popoola, M. (Eds.) Corporate social responsibility and sustainable development in a changing world (pp. 88-102). Ilishan-Remo, Nigeria: Babcock University Press.
