FIRST PART
INTRODUCTION
1.1 Background of the Research
According to Osemene O.F. (2012), numerous organizations in Nigeria are founded for the sole goal of profit maximization and expansion, to the detriment of all other stakeholders.
Some organizations do not respond to the necessities and passions of the host community.
There is an increasing demand for organizations to incorporate public interest. Companies struggle to strike a balance between responding to customer pressure, employee demand, and government obligations and satisfying investors and shareholders. (Pax S.2006)
According to Onwuegbuchi (2009), corporate social responsibility involves Responsibility is the incorporation of public interest into corporate decision-making and the observance of the triple bottom line of people, plant, and profits. A corporate social responsibility policy is a self-regulation that consists of rules and regulations, ethical standards, consumer satisfaction, employee welfare, environmental responsibility and sustainability, community and shareholder benefit.
According to Travis (2006), corporate social responsibility programmes can assist an organization in strengthening its brand, reducing operation costs, attracting and retaining talent, boosting employee morale, reassuring investors, and enhancing its image. Organization owners must understand the benefits and challenges of corporate social responsibility programmes in order to choose an initiative that benefits the company and community. As a result, it does not make good commercial sense for a corporation to be viewed as one that is harming the ecology of the neighborhood.
Guinness Nigeria Limited, in fulfillment of its corporate social responsibility and as part of its commitment to development, has given scholarships and sponsored many youth to attend Ihu Institute of Individual Technology. The programme was designed to bridge the gap that exists in the Nigerian education system and to impart knowledge and skills that will help them become responsible and independent citizens of the nation.
Corporate social responsibility has a significant impact on local communities and the global community; it influences the social economy and the environment.
According to (Garry C.2003), who emphasizes that corporate social responsibility has affected even the air we breathe, investors are more inclined to invest in firms that have demonstrated corporate responsibility. Investors are aware of how strongly customers feel about unethical businesses. Customers are now in a stronger position than ever before to influence corporate accountability. A competent corporate social responsibility policy will attract reputable investors, who will supply the necessary funds to enhance and sustain the organization’s performance.
1.2 Description of the issue
The issue of corporate social responsibility has produced much discussion and controversy, with some experts arguing for CSR and its principles and others arguing against them.
Consequently, the question is how organizations will fulfill their social obligation. In what aspect of the host community is social responsibility required? How do corporate social responsibilities impact the performance of a company? How may a company’s performance be enhanced by social responsibility? To these are posed the following research questions, which the investigation will seek to answer.
Is Guinness Nigeria Limited’s corporate social responsibility acceptable to the host community?
Does corporate social responsibility impact a company’s performance?
Does corporate social responsibility impact a company’s profitability?
1.3 The purpose of the study
This study’s primary purpose is to analyze the influence of corporate social responsibility on organizations in Nigeria’s industrial industry. Other goals are as follows:
Determine whether Gunniess Nigeria Limited’s corporate social responsibility is acceptable to the host community.
Determine whether corporate social responsibility impacts the performance of firms.
To determine whether corporate social responsibility has an effect on a company’s profitability.
1.4 Research Concerns
The subsequent research questions are listed:
Is Guinness Nigeria Limited’s corporate social responsibility acceptable to the host community?
Does corporate social responsibility impact a company’s performance?
Does corporate social responsibility impact a company’s profitability?
1.5 State of the Hypothesis
The formulated hypotheses are as follows:
First Hypothesis
The host community rejects the corporate social responsibility of Guinness Nigeria Limited.
The host community accepts the corporate social responsibility of Guinness Nigeria Limited.
Second Hypothesis
Corporate social responsibility has no effect on a company’s performance.
Hi Corporate social responsibility has an effect on a company’s performance.
Hypothesis Three
Corporate social responsibility has a negative impact on the profitability of businesses.
Hi Corporate social responsibility has a favorable effect on the profitability of businesses.
1.6 Scope of the investigation
The study examined the effect of corporate social responsibility on organizational performance, focusing on Guinness Nigeria limited as a case study.
1.7 Importance of the research
The study would be valuable to Guinness Nigeria Limited since it will contain information that will aid in the enhancement of its corporate responsibility program. Additionally, the research will assist firms that have not previously participated in corporate social responsibility efforts. In addition, relevant literature will serve as a point of reference for researchers in this field of study, which is another way in which the research will be beneficial.
1.8 Limitations of the investigation
Insufficient funds to acquire essential resources and information for the completion of the study, as well as the pressure to fulfill one’s academic responsibilities and duties.
1.9 Explanation of terms
Corporate citizen: An organization’s social responsibilities
Corporate social responsibility: the notion by which organizations consider the interests of society by accepting responsibility for the influence of their actions on all stakeholders, including the environment.
- Ethnicity: An applicable and acceptable moral principle
by the public that governs the conduct of business organization
- Management perception: The manager’s conceptual interpretation of the corporate social responsibility program
- Organization: A group of individuals with a common purpose who collaborate to attain shared objectives
Performance is the actions of an employee inside an organization.
Social conscience is an organization’s feeling of right and evil in relation to the public.
These include employees, suppliers, competitors, the environment, customers, and the community.
- unethical: An activity or behavior that is deemed unacceptable by society