CORPORATE SOCIAL RESPONSIBILITY OF NIGERIAN BUSINESS ORGANIZATION (A CASE STUDY OF GUINNESS NIGERIA PLC)
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CORPORATE SOCIAL
RESPONSIBILITY OF NIGERIAN BUSINESS ORGANIZATION
(A CASE STUDY OF GUINNESS NIGERIA PLC)
ABSTRACT
The concept of corporate social
responsibility has generated a lot of controversy. While some of business
was business alone some strongly believe that business should become more
involve with public interest.
This study is thus an attempt to have
an insight into the extent of which endless Nigeria PLC has been socially
responsible to the needs of the different interest groups in the communities in
which it operates.
TABLE OF CONTENT
Title
Table of content
CHAPTER ONE
INTRODUCTION
1.1
Background of study
1.2
Statement of problem
1.3
Purpose of study
1.4 The
scope of study
1.5
Research questions
1.6
Significance of the study
1.7
Limitations of the study
1.8
Definition of terms
References
CHAPTER
TWO:
REVIEW OF RELATED
LITERATURE
2.1 The
issue of corporate social responsibility
2.2 The
extent of social responsibility in Nigeria
2.3 The corporate
social responsibility controversy
2.4 The
power-responsibility equation
2.5
Business hazard on environment
2.6
Ethics and morliy in relative to social responsibility
2.7
Effect of failure to be socially responsibility
2.8
Pressure groups affecting the corporation
References
CHAPTER THREE:
RESEARCH DESIGN AND
METHODOLOGY
3.1
Research design
3.2 Area
of the study
3.3
Population of the study
3.4
Sample and sampling procedure
3.5
Instrument for data collection
3.6
Validation of the instrument
3.7
Reliability of the instrument
3.8
Method of data collection
References
CHAPTER
FOUR:
DATA PRESENTATION AND
ANALYSIS
4.1
Presentation and analysis of data
4.2
Summary of results
CHAPTER
FIVE:
DISCUSSIONS,
RECOMMENDATIONS AND CONCLUSIONS.
5.1
Discussion of result/findings
5.2
Conclusions
5.3
Implications of the research findings
5.4
Recommendations
5.5
Suggestions of further research
References
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND
OF THE STUDY
The concept of business social
responsibility has continued to evolve and expand. Today, the efficient
use of resources to make profit is still seen as the primary social
responsibility of business.
The idea of operate social
responsibility began in the early part of the twentieth century.
Interestingly enough, it came from
business executives who believed that corporations has an obligations to use
their resources in ways that would benefits the entire society.
Although, the role of business
firms is that producing goods and services for a profit, social expectations of
business have increased dramatically since the 1960, so that is a need for
social response in order to narrow the gap between expectations and response
and keep business in turn with society, while an organization is busy
establishing its goals, objectives developing and executing strategies for
achieving its stated purpose, it should recognize that it operates within an
environment which expects it to operates in such a manner that would not
disrupt its very essence.
Furthermore, there is little doubt that
business must involve itself in social issue broader than producing goods and
services not only because it is the best thing to do but because it is in the
best interest of business. In view of these, this study narrow down to
Guinness Nigeria PLC which can approximately be described as one of the most
prominent and well known company in the brewery industry with branches within
and outside the country. The company is the year 2002 celebrated her 50th
years of corporate existence in Nigeria and the demand for its product, no
doubt has continue to grow and it was indeed remain consisting high all through
years.
This brewery company majors in the
production of small and big Guinness stout beer, harp, Gulder, spark, Malta
Guinness and Satzen Brau.
Guniess Nigeria PLC operates in various
parts of the country until the early seventies precisely (1974) when a plant was
established at Ikpoba slope in Benin city. Till this day, the company has
continue to grow and it remains one of the most dominant and prominent company
in the brewery industry.
1.2 STATEMENT
OF THE PROBLEM
According to C.C Nwachukwu (1988:227) a
majority of Nigeria business organization believed that business enterprise had
not shown sufficient interest to their social responsibility. At present,
many Nigeria businessmen’s attitude to social responsibility is characterized
by the belief in the doctrine of Laizzez Fair the government is best that
governs the lest. This belief has result in conflicts especially in this
era where larger number of people now believe that corporations should actively
pursue society responsible goal. This include reducing pollution,
programme for education, public health, employees welfare, environmental
protection and in calculating more safety and reliability into the produces.
Corporate social responsibility is
treated within the context of this research work in relation with Guinness
Nigeria PLC Benin, City activities with respect to consumers, employees
shareholders and the community at large. Perception to this by both
community members and management of Guinness Nigeria seems to differ based on
each group preference needs, motive, values, goals and aspirations.
Guinness Nigeria is constantly maximizing profit but not much attempt have been
made in balancing ethics with economics. Therefore, a balance must be
struck between actions of Guinness Nigeria which is profit maximization and the
community wants. In the light of the above this study attempt to
determine the extent to which Guinness Nigeria PLC Benin City has socially
responsible to the need of it community.
1.3 PURPOSE OF
STUDY
Social involvement has not replace the
basic economic role of business in society, but it does introduce new goals for
business to purpose and new constraints on how business will operate. The
study thus, will serve to highlight on these goals and constraints.
The following aims and objective of the
study came to mind in the choice of this topic.
1.
To evaluate extent of Guniess Nigeria PLC Benin City involvement in social
affairs.
2.
To have an insight into the role it is expected to play in the area of
corporate social responsibility.
3. To become familiar
with the effects of social responsibility on a company and the society.
4. To evaluate public
impression/opinion/perception on the company
1.4 SCOPE OF
STUDY
In order to be able to effectively
evaluate the activities of business corporation and the community in which they
operate in turns of their corporate social responsibility, that study will
narrow down to determine how social responsible Guinness Nigeria PLC is to the
community in which it operates hence the emphasis on Guinness Nigeria PLC Benin
City and the habitant of Benin City community.
1.5 RESEARCH
QUESTION
The following questions have been
raised in order to emphatically test the result from the questions in my
questionnaire. The result of these questions will form the basic for my
conclusions and recommendations.
1. To what extent has
Guinness Nigeria PLC Benin City improved the living condition in its community?
2. To what extent does the
company engage itself in community and employee welfare?
3.
Does the gain derive by the community from the company exceed the loss they
suffer
4. Does the company
meet up with the needs of the community?
Answers to the questions would be of
immense benefit in making meaningful recommendations which will aid the
business corporation and government in its policy formulation
1.6
SIGNIFICANCE OF THE STUDY
“A
healthy business and sick society are hardly compatible” noted Peter Druker
(1980:10)
therefore, business corporations must
be constantly reminded that exercising responsibility is a way to reduce or
avoid public criticism that heads to government regulations and must be made to
know that business corporations must respond to societal demands. This is
because the long run self interest of business are served by energetic social
responsibility.
Since Guinness Nigeria PLC of a major
multinational corporation operating in Nigeria, it becomes necessary to embark
on a study of a multinational corporation and its social responsibility with
special attention on Guinness Nigeria PLC actions in Benin City.
It is expected that finding would be
useful to the organization in decision making and will help government in
policy formulation.
Furthermore, this study will serve to
broaden the frontiers of knowledge and drop the attention of business
corporations in the role they are expected to play in the society in they
operate. The emphasis of this study is on business society relation.
1.7 DEFINITION
OF TERMS
THE
CONCEPT OF CORPORATE SOCIAL RESPONSIBILITY
The concept of corporate social
responsibility has attracted increasing attention among business economics and
it is firmly based on ethics which is the principle of conduct used to govern
decision making. Now the question is “what is corporate social
responsibility? Various writers have succeeded in providing answer to
these questions through their various contributions.
One of the pioneering analyses of
social responsibility problems was that provided by Peter Druker (1974:694) he
defined social responsibility as what business should do or might do to tackle
and solve the problems of the society”.
In another work CC Nwachukwu (1988:272)
defined social responsibility as “The intelligent and objective concern for the
welfare of the society which restraints individual and corporate behavior from
ultimately destructive activities no matter how immediately profitable and
which leads in the direction of positive contributions to human betterment”
In essence, social responsibility
simply refers to role of business in solving current social issues over and
above legal requirements.
Druker (1978:62) suggested that
corporate social responsibility should apply to all types of organizations that
order any circumstance should assume responsibility beyond their own
performance and contributions
Two terms will be interchangeably used
in this study. They are social responsibility and social
responsiveness. According to Tate and Taylor (1983:63) corporate social
responsiveness incorporates, the idea of a firm responding to its multiple
constituencies in such a way as to enhance the long term effectiveness of the
firm.
In its simplest sense corporate social
responsiveness means removing how to manage a company’s relations with external
social political and government forces that can effect the company.
Finally, when talk about social
responsibility, they are thinking in terms of the problems that arise when
corporate enterprises cast its shadow an the social scene and of the ethical
principles that ought to govern the relationship between the corporation and
society. They are concerned with the impact of the corporate on the
individual and the possitricities of reconciling big business, big labour and
by government with the values.
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