Many of us are of the thought that CSR is for the good benefits of the society better. But do they benefit the companies or the organizations that follow this? Of course, it is a beneficial thing for the companies too who strive to follow these concepts. CSR is basically about how the company takes into account the social welfare of the society too in their process of designing and production of services. There have been a lot of research and analysis that shows how CSR has benefitted the companies in allocating extra funds for their new projects. Now you might be thinking as to how this is related to following the concepts of CSR.
CSR- higher allocations
Now when there is a company following the concepts of CSR, it would be able to produce products and services that are safe and sound for not only the customers but also the nature because generally CSR talks and elaborates on social responsibilities and awareness and pays attention to how nature too needs to be preserved in its greenery and not spoilt for the reason of some new products and services. So when this is followed meticulously, the services of this company are rated higher than the others in the market which attracts more customers and this way the company gets to earn more. So when there is an increase in the profits of a company, it gets to allocate more for CSR initiatives. And not only this but also funds for more new projects.
SME`s and CSR
CSR is a concept followed by all the companies irrespective of their size and business type. But when compared to the big businesses, it is a little difficult for the small and the medium industries and companies to follow this especially when they are in the initial few days of their incorporation because their major goals and concentration would be on core business and survival in the market amidst heavy competition. This is something very important for all the companies because for them the first thing is an established position in the market and once this is achieved, it would become easy for the company to implement and appoint CSR concepts easily in all its business operations.
So in any which way at any stage of a businesses’ growth and development stage, it would be important for the company to follow CSR for this is a must and a mandatory one for all.