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Chapter One: Introduction to the Practise of Corporate Social Responsibility in the Brewery Industry.

Marketers must to consider that client contentment alone may not suffice as the sole determinant of profitability. The marketer functions within a certain business context.

The marketer should never underestimate the dynamic tension that exists among several factors. Socially responsible marketing acknowledges the interconnectedness between an organisation and the broader society, hence emphasising the organization’s obligation to be answerable to the larger society for its conduct.

According to Okonkwo (2000:128), social possibilities refer to the collective endeavours of business operators to proactively develop, devise, and execute policies and decisions pertaining to the welfare of society.

This involves analysing the impact of their business activities and inactions on various segments of society and implementing remedial measures as necessary.

According to Adirika, Ebue, and Nnolim (2001:29 – 292), there exists a perspective among certain researchers that posits the primary objective of businesses as the generation of profit. By engaging in such actions, society reaps advantages and individuals’ material wants are fulfilled.

Nevertheless, alternative viewpoints exist among researchers who argue that the obligation of a corporation is to fulfil societal needs and expectations. The firm is owned by the public and therefore has a responsibility to various stakeholders,

including suppliers, consumers, stock brokers, employees, the local community, government, and the broader public. The notion of corporate social responsibility can be seen as a natural progression of the societal marketing concept and social marketing.

The social duties of marketers are derived from their understanding of corporate ethics. Ethics is an academic discipline concerned with the examination and analysis of moral principles and values, particularly in relation to determining what is considered right or wrong. The ethical behaviour of the majority of those engaged in business activities is highly questionable.

Various unethical practises can be observed in the business realm, including the dissemination of deceptive or misleading ads, the sale of expensive and substandard goods, the provision of bribes to secure business opportunities, the emission of industrial pollutants, as well as the production and distribution of defective, hazardous, and detrimental items.

According to Berkowitz et al. (1997:110), the concept of social responsibility entails that organisations are integrated within a broader society and are held responsible for their actions towards that society.

However, reaching a consensus on the definition and extent of social responsibility is challenging due to the wide range of values found in various business and organisational cultures within society.

According to Berkowitz et al., there exist three fundamental concepts of social responsibility.

1) The concept of profit responsibility posits that firms possess a singular obligation, namely, to optimise financial gains, while adhering to the established regulatory framework.

The businesses who impose exorbitant charges for novel HIV medications exhibit a strong conviction in this regard.

2) The concept of stakeholder responsibility arises as a result of critiques over the sole focus on profit responsibility. The primary focus of this concept pertains to the responsibility that an organisation holds towards individuals who possess the ability to influence the organization’s ability to attain its goals.

These individuals include customers, employees, suppliers, and distributors. Numerous corporations have undertaken the action of recalling their products due to the identification of defects, deficiencies, or potential harm. This decision is driven by the belief that,

despite the substantial expenses associated with the recall process, it is in the best interest of the stakeholders. Moreover, failure to initiate a recall would likely result in detrimental consequences for both the product’s reputation and the companies involved.

3) Societal responsibility encompasses a wider scope of social responsibility, encompassing the duty that organisations bear in preserving the ecological environment and prioritising the interests of master marketers, also known as enlightened self-interest.

By demonstrating societal responsibility, companies are able to gain the trust, patronage, and support of the broader public, leading to the establishment of international organisations such as Coreen Peace (Berkowitz et al., 1997:111-112).

The primary responsibility of businesses, including those in the brewery industry, is to operate within the ethical boundaries and regulatory framework set by the government, in order to meet the needs and expectations of the general public. In accordance with this conceptual framework,

an escalating number of enterprises are progressively adopting a heightened level of social responsibility. The researcher critically examines the practise of corporate social responsibility in the beer industry,

specifically focusing on the Nigerian brewery industry in Ana Enugu, because to the significant role that social responsibility plays in business operations.

1.1 Statement of the Problem

Numerous organisations, including those in the brewery business, actively and persistently seek the purpose of maximising profit. While a few individuals acknowledge the requirements of their clientele, the majority fail to do so due to their operation inside an environment that is not conducive to customer satisfaction.

Numerous brewery industries exhibit a predominant focus on individuals or entities that contribute to their financial gains. However, the principle of social responsibility necessitates that companies contemplate the ramifications of their actions within the broader social framework.

Consequently, the company becomes accountable for any detrimental consequences resulting from its activities across the entirety of said system.

Social responsibility refers to the degree to which a business demonstrates its response to the issues and concerns of society. Many brewing firms are fulfilling their moral responsibility to society.

The examination of corporate social responsibility practises in the brewery business is undertaken by researchers due to the significance of enhancing consumer welfare and boosting company performance.

1.2 Objectives of the Study:

This study establishes the following objectives.

1) In order to ascertain the extent to which the brewery industry demonstrates social responsibility.

2) This study aims to investigate the extent to which brewery industries employ corporate social responsibility practises as a means to enhance client patronage.

3) This study aims to assess the influence of social duties on the profitability of the beer industry.

4) In order to ascertain the sentiments of consumers

5) This study aims to investigate the challenges faced by brewing businesses in fulfilling their social duties.

6) This paper aims to propose strategies for leveraging corporate social responsibility initiatives to enhance client patronage.

1.3 Significance of the Study;

The study serves not just as an academic endeavour but also holds significant advantages for the researcher. Engaging in this activity will enhance the researcher’s understanding of research writing and the pricing strategies employed within the context of corporate social responsibility.

The study will provide significant benefits to scholars, as it might serve as a valuable source for doing literature reviews.

1.4 Scope of the Study :

The purpose of this study was to investigate the implementation of corporate social responsibility within the beer sector.

The research hypothesis is as follows:

The null hypothesis posits that the brewery industries in Nigeria do not exhibit social responsibility.

Hello, it is evident that brewery enterprises in Nigeria exhibit a commendable level of social responsibility.

Hypothesis: Brewery industries demonstrate a lack of concern for the environmental impact of their operations.

Greetings, The brewery sector demonstrates a commitment to environmental stewardship within its operational contexts.

Hypothesis: The brewery industry in Nigeria does not provide adequate measures to ensure product safety.

Hello, it is worth noting that the brewery industry in Nigeria places a significant emphasis on ensuring the safety of their products.

Hypothesis: The implementation of corporate social responsibility by brewing industries has a detrimental effect on the financial performance of the organisation.

Greetings, The implementation of corporate social responsibility initiatives by brewing industries has a favourable impact on the financial performance of the organisation.

1.6 Definition of Terms:

Increased value: Moral or professional standards of behaviour refer to a set of principles that guide individuals in their conduct. Ethical attributes pertain to the principles governing appropriate and inappropriate conduct.

These attributes are derived from individuals’ perception of what is morally upright and fair, rather than being solely dictated by legal rights and responsibilities.

Adhering to standards of righteous behaviour, these attributes encompass qualities that are considered good or virtuous. Furthermore, possessing ethical attributes entails the capacity to discern between right and wrong, as well as the ability to impart or exemplify commendable conduct.

Ethics can be defined as a structured framework of moral principles and standards of conduct that govern human behaviour. It is considered a scientific discipline that explores and analyses moral conduct with the aim of achieving greater moral accuracy.

Strategy refers to the art of meticulously organising and effectively directing an operation within a campaign. It encompasses the skillful ability to plan and manage any affair with precision and proficiency. Additionally, strategy involves the development of a comprehensive plan or design that serves a certain objective.

Public goods refer to goods or services that possess a high level of quality and meet recognised standards, hence satisfying the needs and preferences of the broad population.

Responsibilities refer to the commitments or tasks that individuals or groups are held accountable for.

The environment of business encompasses several factors that influence the operations and outcomes of a business. These factors include both external and internal conditions and circumstances that impact the business’s existence and functioning.

Examples of such conditions include the economic environment, cultural environment, and technological environment. Additionally, the natural conditions in which a business operates also play a role in shaping its operations and outcomes.

Stakeholders refer to individuals or groups who have made financial investments or other contributions to a company or business, hence acquiring a vested interest or ownership stake in it. Stakeholders are those who possess a vested interest in the prospective achievements of a firm.

Opportunity refers to a propitious period, event, or set of conditions that presents advantageous prospects.

Decorum refers to the dignified and socially accepted behaviour that embodies a moral framework of virtuous and exemplary living, hence deserving of emulation.

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