Why do some corporate social responsibility programs seem to backfire? There are lots of reasons, but University of Kansas Assistant Professor Jessica Li recently published a paper that explains why some do.
Her research shows that people in some countries have distinct reactions to two companies engaging in the same behavior when one of the companies is foreign and the other domestic.
Jessica has provided us with three tips for creating a corporate social responsibility program that works.
It is important to understand that CSR is not always perceived positively by consumers. Consumers make attributions about why a company is engaging in CSR, ant these attributions influence their attitudes and behaviors.
Consumers with collectivistic orientation make more altruistic CSR attributions for a domestic versus a foreign firm. Thus, the same CSR behavior performed by a foreign company will be perceived less positively than if it were performed by a domestic company in countries like South Korea or India.
It’s important to show collectivistic consumers that you genuinely care about the cause. Biases against foreign companies can be minimized if the foreign company shows that it authentically cares about the cause, such as by engaging in CSR for a long time.
There is nothing worse for a CSR professional than to invest in a program that causes a negative consumer response. The money and effort feel wasted. Despite the responsibility of the company to do good, making that good profitable makes it infinite. These tips can help companies avoid CSR disasters.
On Thursday, February 2, 2017 at 2:00 Eastern, Jessica will join me here for a live discussion about making corporate social responsibility program work around the world. Tune in here (at the top of this article) then to watch the interview live. Post questions in the comments below or tweet questions before the interview to @devindthorpe.
More about the University of Kansas:
Since its founding, the University of Kansas has embodied the aspirations and determination of the abolitionists who settled on the curve of the Kaw River in August 1854. Their first goal was to ensure that the new Kansas Territory entered the union as a free state. Another was to establish a university.
Today, KU has become a major public research and teaching institution of 28,401 students and 2,600 faculty on five campuses (Lawrence, Kansas City, Overland Park, Wichita, and Salina). Its diverse elements are united by their mission to educate leaders, build healthy communities, and make discoveries that change the world.
Jessica Li received a Ph.D. in Social Psychology from Arizona State University and a B.S. in Biology and Society from Cornell University. Broadly, Jessica’s research focuses on the role of emotions and motivations on consumer behavior. Due to her interdisciplinary background and desire to understand decision making from multiple perspectives, she often integrates theoretical principles from psychology, economics, and biology in her work. For example, one line of research investigates how fundamental motives, such as protecting oneself from physical threat or caring for one’s kin, affects financial decisions including risk-taking, present bias, and diversification. Another line of research takes an interpersonal approach to understanding displayed emotions on consumer judgment and decision-making. As social beings, humans make quick and spontaneous judgments from fleeting cues like an employee’s emotional expression. Jessica’s work has been published in journals such as the Journal of Consumer Research, the Academy of Management Journal, the Journal of Personality and Social Psychology, Psychological Science, and the Journal of Consumer Psychology. Jessica teaches Integrated Marketing Communications at the undergraduate and MBA levels. In addition, she has taught a Ph.D. seminar in Consumer Behavior and a practicum in Promotional Plan Development. She is currently developing an online MBA course in IMC.
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Devin is a journalist, author and corporate social responsibility speaker who calls himself a champion of social good. With a goal to help solve some of the world’s biggest problems by 2045, he focuses on telling the stories of those who are leading the way! Learn more at DevinThorpe.com!