Due to increasing globalization, many governments have lost their ability to regulate and execute social and environmental policies. However, the demand for corporations to take responsibility has significantly expanded. This suggests a greater role for civil society in enforcing ‘corporate social responsibility’ (CSR) efforts. CSR is mainly described as a social contract between business and society. It basically represents a company’s duty to consumers. One of the main reasons for the increasing influence of civil society was the development of social media specifically. It is important to clarify the role of the Internet and social media, in order to understand companies’ motivations to act socially and environmentally responsible. This blog describes the influence that the Internet and social media have on CSR activities, with respect to an environmental and business perspective.
Independent organisations, media and citizens have great capacity to impose transparency on companies, due to the Internet. This indicates that scandals or non-environmental practices could easily be exposed, which potentially lead to more environmental friendly actions by companies. For instance, Nestle raised their standards for its palm oil suppliers as a result of Greenpeace Internet campaigns that raised consumer concerns about environmental impacts of different supply choices. Additionally, Volkswagen’s emissions cheating scandal was exposed on the internet, with enormous consequences. The rising negative attitudes of consumers on social media towards the company resulted in direct actions. Volkswagen took back cars to adjust them and they changed their standards. These examples indicate the important role the Internet has in forcing companies to act environmentally responsible.
Despite the risk of being negatively publicized, the Internet, and especially social media, could also be used as a strategic platform by companies to communicate their CSR activities. This implies that the Internet could be considered as a business opportunity in this area, like we have seen many times before in other perspectives (e.g. strategic, financial, marketing). When companies use the Internet and social networks to promote CSR activities, this possibly offers returns. As stated in research, these returns may include an increased reputation. For example, research showed that people’s attitudes towards the companies Johnson&Johnson and ChevronTexaco increased, when they gained knowledge about their CSR activities. Moreover, companies could better meet the demand of stakeholders when they engage them in decision-making processes and their implementation, by actively involving them in applications like blogs, social networks and online communities. However, communication of CSR activities on online platforms normally only attracts those who actively look for online discussions. Nevertheless, social media can reach the larger sphere trough opinion leaders. The Internet enables companies to communicate and promote their CSR activities, which could increase their reputation and forge long-term relationships with stakeholders. This possibly triggers other companies to act more responsible as well, which results in more CSR activities in general. Subsequently, this contributes towards achieving the global sustainable goals.
The Internet is both a threat and an opportunity for companies, with respect to the realization of CSR activities. The transparency of the Internet, leads to an increasing power of civil society and the exposure of environmental-harming actions on the Internet. Therefore, companies are forced to act more environmentally responsible. However, the Internet also provides strategic opportunities regarding CSR. By communicating CSR activities through the Internet, and involving stakeholders in decision-making processes, companies may increase their reputation and strengthen long-term relationships. Thus, CSR activities may also be executed voluntarily, instead of being forced by stakeholders. In the upcoming years, companies will probably act even more environmentally responsible, due to the increasing importance and benefits of CSR, and the still rising power of the Internet and social media.
References
Chaudhri, V., & Wang, J. (2007). Communicating corporate social responsibility on the internet: A case study of the top 100 information technology companies in India. Management Communication Quarterly, 21(2), 232-247.
Fieseler, C., & Fleck, M. (2013). The pursuit of empowerment through social media: Structural social capital dynamics in CSR-blogging. Journal of Business Ethics, 118(4), 759-775.
Revkin, C. (2016). With Imposed Transparency and Concerned Millennials, a Boom in Corporate Responsibility? The New York Times.Retrieved November 27, 2017, from https://dotearth.blogs.nytimes.com/2016/01/25/with-imposed-transparency-and-concerned-millennials-a-boom-in-corporate-responsibility/
Russell, C. A., Russell, D. W., & Honea, H. (2016). Corporate Social Responsibility Failures: How do Consumers Respond to Corporate Violations of Implied Social Contracts?. Journal of Business Ethics, 136(4), 759-773.
Wigley, S. (2008). Gauging consumers’ responses to CSR activities: does increased awareness make cents?. Public Relations Review, 34(3), 306-308.
