tesco corporate social responsibility essay

ESSAY SAUCE

FOR STUDENTS : ALL THE INGREDIENTS OF A GOOD ESSAY

Essay: How important is Corporate Social Responsibility for Tesco?

Essay details and download:.

Subject area(s): Business essays
Reading time: 5 minutes
Price: Free download
Published: 21 June 2012*
File format: Text
Words: 1,292 (approx)
Number of pages: 6 (approx)
Tags: Corporate social responsibility

Text preview of this essay:

This page of the essay has 1,292 words. Download the full version above.

How important is Corporate Social Responsibility for Tesco?

Business research methods, subject: how important is corporate social responsibility for tesco why is it important, why is it important, introduction.

In last couple of years everything has been changing and developing because of globalisation. As a result of high technology development environmental and social responsible issues are became hot topic for both society and organisations. Many people believe that in today’s business environment, successful organisation should be ethical and responsible for their actions. Sometimes it is not really good when your company’s profits are high which will bring your responsible high as well. Because people believe that being socially responsible means spend how much company earn they should spend the similar amount of money on environment and social issues. Socially responsible issues are not new to public and examples can be found even from earliest day of industrial revolution.

Corporate social responsibility is an action that maximise its force in providing necessary amounts of quality goods and services at minimum financial and social costs as well as less usage of environmental resources. It is more than just providing goods and services. It may be difficult for organisations however all of them supposed to provide this kind of strategy in order to be successful.

There are some basic problems when defining corporate social responsibility such as socially responsible actions necessarily reflects moral values, the substance of which cannot be determined apart from particular situations. It does not mean all the actions that other companies take are responsible. Business should have their corporate system that makes social and economic sense. When firms want to be socially responsible they need to have some system which suggests what society wants them to do. CSR shows to others that company behave ethically and improve their image to society.

The main reason why I chose Tesco is the company is one of the most profitable and socially responsible companies in United Kingdom. According to Simms A, (2007) in recent years, there has been growing interest for Tesco rendering them more socially active and involved in addressing social problems. Tesco has done many social actions such as reducing the wastage using their buy one get one free offers, decreasing plastic bags with their �Green bag” projects and supporting many different charities. Their strategy helps many environment issues.

Literature review

The beginning of Corporate Social Responsibility (CSR), firms think that being ethical means only building houses for their employees and schools for their children (Farmer and Hogue 1985). Since, the middle 90s, corporate social responsibilities get more interests and companies have gained more strength. Many firms are starting to realize that they cannot ignore social expectations from society. Many firms struggled with the problem of how to act as good corporate citizens. CSR became main concept on the public agenda and getting more attentions. (Zu L, 2009). Being ethical is really great in moral principle, but when principle is become to practice things always changes. There are many questions came up such as which is the right way to act responsible and how to express it. Things get difficult when different part of society expect different things from firms (Hall et al. 2000). Being socially responsible costs a lot to firms however, if you do not be responsible for your society it also costs. For example, if business does not behave ethically it may occur their stakeholders to reconsider their communication with the firm. It may bring results like suppliers stop providing with goods or customers stop buying and using your products which would be loss for the organisation. That is why it is really important that company should balance both being ethical and spending money on it.

Methodology

Methodologies that people use for research are really important for getting useful information. In order to get useful information about Tesco’s CSR, i need to use different kind of research methods and combine them together. Using only literature review is not enough at all. People do academic research because reading literature review is not enough information we should connect both practice and theory together. Practice shows what is happening in the real case and they can analyse theories based on case study. There are gaps between literature reviews and the real cases. There are ranges of research methods that applied for collecting data.

Firstly, in order to get valuable information about Tesco’s Corporate Social Responsibility I need to do research. Business and management research has many different traditions, one of the most fundamental of which is the distinction between quantitative and qualitative research. Both researches involve helpful way of categorizing different approaches of business research. Using both qualitative and quantitative research is really helpful for analysing the findings. There are some major differences between quantitative and qualitative researches.

The quantitative research is research strategy that mostly consider on collection of data. It may easy to understand because it based on numbers instead of words and theories. It helps to test the relationship between theory and research.

On the other side, qualitative research is a strategy that usually concentrates words rather than the collection of numbers and data. According to Bryman and Bell (2007 pp401-402) qualitative research is �Predominantly emphasizes an inductive approach to the relationship between theory and research, in which the emphasis is placed on the generation of theories’.

Next method that i should use is both secondary and primary data. I cannot base my writing on secondary data or primary only. Because there are many disadvantages using just only one of them. For example, secondary data can be false, and you do not know whether it is true or not as long as you do the primary data for yourself. Secondary data is the information that someone else already collected. Such as internet sources, newspaper and journal articles. It may be easier to find and cheaper however, it is not up to date. That is why we should not use only secondary data for our research. People use primary data in order to confirm their secondary data is correct or not. (Bryman and Bell 2007),

Primary data is information that you collected it by yourself and it is not exceeded anywhere else. It is just what you have been collecting from original sources. Examples of primary data are interviews and questionnaires. Primary data can be difficult to find, expensive and take longer time than secondary date. However, linking primary data with secondary data makes the best research. In order to do my primary data i can interview some of employees from Tesco and ask their opinion about Tesco’s CSR with open questions. Open type questions help people to analyse. Because it gives more information than closed questions which may answered by one or two words. Interviewing customers’ opinion about Tesco’s social responsibility also may useful for my research. Moreover, questionnaires are very helpful as well as surveys from stakeholders. Their opinions about CSR can lead me to the right conclusion.

All in all the best way to do my research is choosing right method for my research and get data from trustful sources such as journals, books and analyse them with my own words. Harvard referencing is really important. Otherwise it may occur plagiarism.

1. Bryman and Bell (2007), Business Research Methods (2nd edn), Oxford University Press Inc, New York.

2. Farmer and Hogue (1985), Corporate Social Responsibility (2nd edn), D.C Heath and Company, United States of America

3. Hall et al. (2000), Business Studies (2nd edn), Legoprint, Italy

4. Simms A, (2007), Tescopoly, Constable and Robinson Ltd , Great Britain.

5. Zu L, (2009), Corporate Social Responsibility, Corporate Restructuring and Firm’s Performance, Springer-Verlag, Berlin

Bibliography

1. Davis. D (2000), Business Research for Decision Making (5th edn), Duxbury, United States.

...(download the rest of the essay above)

Discover more:

Corporate social responsibility

Recommended for you

Five Dimensions of CSR
Important aspects of corporate social responsibility
An essay on corporate social responsibility: the case of barclays plc.

About this essay:

If you use part of this page in your own work, you need to provide a citation, as follows:

Essay Sauce, How important is Corporate Social Responsibility for Tesco? . Available from:<https://www.essaysauce.com/business-essays/corporate-social-responsibility-for-tesco/> [Accessed 11-04-24].

These Business essays have been submitted to us by students in order to help you with your studies.

* This essay may have been previously published on Essay.uk.com at an earlier date.

Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising Descriptive Essay

Tesco UPL started in London’s East End. It was founded by Jack Cohen as a one man business. He was a son of a tailor and when he started it, he specialized in selling groceries in the markets of London East End. The company started in 1919 and it adapted its brand name Tesco on 1924.

The brand name was delivered from a combination of the initials of its former supplier T.E. Stockwell (TES) with initials (CO) from his surname. Thus, the misconception that the brand name Tesco originated from a combination of his name Jack and his presumed wife Tessa is wrong, since he has never been married to such a woman.

Tesco started its first store at Burnt Oak, in 1929 and it started trading its shares in London Stock exchange in 1947. It was in 1956 that it started its first self-service store and first supermarket in St Albans and Maldon respectively (Tesco Corporate Profile (2004, para.5).

Tesco has expanded greatly to be the biggest chain of supermarket in United. Internationally, it is placed at position four after Wal-Mart of United States on America, Carrefour of France, and the Home Deport also from the United States of America. Tesco has been successful in opening stores in 14 countries in Europe, North America and Asia.

The company has expanded his line of production from specializing in selling groceries by also stocking consumer goods, financial services and Telecoms that has enabled it generate revenue of £3.41 billion annually(Tesco Corporate Profile (2004, para.7).

Tesco-Corporate Strategy

Tesco’s expansion over the last three decades comprises of a complete change of its strategy and image. In its early years it used a strategy that was known as ‘pile it high, sells it cheap’.

This strategy was initiated by Jack Cohen and was very effective by then, but latter it was not successful in selling the brand to the middle-class customers, since they had a poor image for the brand. In 1970s, many consultants recommended a change of the names of its store due to their poor, an issue that was never implemented.

They latter changed their strategy that enabled them establish a well consistent growth that facilitated it in 2005 to become the biggest retailer market in United Kingdom with a domestic grocery market share of 29% compared with 16.8% of Wal-Mart who were formerly dominating the market. The company established a strategy that that was aimed at broadening the scope of the business. This was meant to ensure that the company delivers a strong sustainable long-term growth.

This new strategy entailed expanding the domestic markets to offer diversified products such as non-food, telecoms and financial services. This strategy which was initiated in 1997 is the one that ensured the growth and success of the company. This strategy comprises of five elements;

Core UK: Tesco has the biggest domestic market in United Kingdom. Approximately 70% of their growth and profit occurs in UK. It has over 2,200 stores that have enabled to employ more than 285,000 people. Its expansion in UK happens as a result of extending its established store, opening new store and lastly by the strategy of multi-format approach.

Its sale of non-food has greatly boosted the expansion of the company. To sell its products, Tesco has adapted five diverse store formats which are costumed to meet the needs of their customers. They are categorized according to what they stock and size. They include;

Express (up to 3,000 sq ft)

Tesco has more than 960 such stores that sell a range of up 7,000 products to their customers. They are located close to where their customer live and work for convenience while buying. They stock high quality and fresh food stuff, wines and spirit.

Metro (approx. 7,000-15,000 sq ft)

The company has more than 170 metro. The first metro was established in 1992. Metro are aimed at enhancing the conveniences of shopping in towns and city centers. They stock variety of products including sandwiches and ready-meals,

Superstore (approx. 20,000-50,000 sq ft)

Tesco have more than 450 such stores that stock a wide range of products. Nowadays they have diverse products that include non-food products such as books and DVDs

Extra (approx. 60,000 sq ft and above)

In the United Kingdom, there are over 175 such stores. They stock a wide range of non-food and food products. These products include clothing, health and beauty, electrical equipments and others. The Homeplus is another store that is on trial .They are 10 in numbers and are aimed mostly at stocking on non-food products.

Apart from Tesco designing its stores in various formats to suit its customers, it offers its products in a broadened appeal. Tesco is continually investing to expand their line of production to offer their customers a wide variety of products to choose from. Tesco products enable various people to purchase their different products to supplement their lifestyle. For instance, their nutrition labeling educates their customers on the key information that enable them make an informed decision when buying from their stores.

The recent economic depression had challenged their business greatly and as a result invented 500 more products that will enable various categories of customers to buy various products at a cheaper price without compromising on quality. Tesco stores are designed to appeal all the classes of their customers in reference to their social economic status.

They ensure it by forming a slogan named ‘ I’m not aware of any other retailer achieving’ this slogan has enabled Tesco appeal to every segment of UK market.

Tesco Clubcard is a global leading loyalty card scheme that has information that enable Tesco understands its customer better and give them an opportunity to appreciate their customer for shopping with them. Tesco possess more than 8 million distinct coupons. Each clubcard mailing designed to reflect the type of bid suitable for any of their customer. The company has more than 15 million active cardholders.

Tesco is the biggest private employer in UK with a workforce of more than 285,000. The company offers its customers packages of pay and benefit like children care vouchers or Save As you Earn. This is a scheme for saving that enables their customer to purchase shares at a discounted rate (Tesco PLC, 2010 Para. 6).).

In summary, Tesco has used the strategy of diversification to become among the leading firms globally.

The ability of the firm to succeed in selling its own-brand to its customers has helped the company make sufficient profit as this strategy ensures that a company retains a higher percentage of the overall profit. Thus, the company has enough resources at its disposal to expand to other places locally and also globally.

Another strategy adapted by Tesco is core UK business. This involves stocking of grocery in its home market. This retailing is characterized by very strategic moves that entails opening large scale store in areas that other competing firms have shunned to explore. This strategy gives Tesco the advantage of being the first entrant thus; concentrating on establishing a strong brand in those areas such that other competing firms cannot be able to match its performance when they venture in these areas latter on.

Non-food businesses-Apart from being successful in its grocery business, Tesco has also diversified its operations to include non-food products such as cloths, electronics, health and beauty products among others. This new diversification has ensured high revenues and especially in Ireland where it records very high revenues due to the sale of CDs. Retailing services;-Tesco has also expanded its operations to offer services such as personal finance.

It has succeeded in the retailing services by entering in joints with other main players in the sector. This has strengthened its brand and expanded its customer base. Other competing firms in UK have also adapted this strategy, but Tesco have implemented it more strategically a move that has ensured this venture very profitable (Tesco PLC, 2010 Para. 8).

For example, Tesco clients enjoy banking services from Tesco Bank which was initially a joint venture between Tesco and the Royal Banking of Scotland. It gives its customers offers on various products such as loan, credit cards among others. This new service ventures helps the firm record very high profits that assist the firm to venture in new services or areas. Tesco is also engaged in the cell phone industry.

It cells various home phones, mobile phone and broadband business to various consumers across the globe. It has liaised with successful experts of existing telecom operators.International-Tesco started to expand outside UK in early 1994, and in 2005 it was successful to globalize approximately 20% of its operations mainly in central Europe and Far East (Tesco PLC, 2010 Para. 10).

Tesco Social Responsibilities

Buying and selling their products responsibly: Tesco have thousands of suppliers globally. They prefer their suppliers to be innovative and dynamic. To ensure it, they spend approximately £800m of their turn over in United Kingdom for local sourcing. Tesco verify where their products originate from and also ensure they are produced in accordance to their standards.

To achieve a very competent workforce that will be dynamic and very effective, Tesco has trained more than 400 suppliers in China, India, Bangladesh, Spain and United Kingdom on how to enhance labor Standards to realize a workforce that is self motivated and very competent (Tesco Corporate Social Responsibilities, 2010, Para.2).

Protecting the Environment: Tesco is committed in ensuring that its activities have very little negative impact on environmental. It achieves this by leasing with its supplies and encouraging them to ensure they use environmental friendly production methods to minimize pollution. Tesco has a vision to reduce its carbon emission to zero by 2050 by adapting the following strategies. Reducing carbon emission in all the new stores they will erect and the existing ones by 2020(Tesco Corporate Social Responsibilities, 2010, Para.3).

Creating good jobs and careers:-Tesco employees are more than 285,000. Thus, Tesco expansion is an assurance that it will continue to give people more employment opportunities that assure them of a daily source of income for themselves and their families (Tesco Corporate Social Responsibilities, 2010, Para.3).

Assisting customers make healthy choices:-Tesco products are labeled accordingly to assist various customers make informed decisions, while buying from their stores. They encourage their customers to purchase and eat more vegetables and fruits. It is done by offering discounts and promotions on such products.

They occasionally take direct roles to ensure that their customers get healthy. They encourage people to lead active lifestyles. Healthy lifestyle helps one to balance the energy they consume to the one they expend. Some of the strategies it has adapted to make sure people live healthy lifestyles is by supporting aerobics and soccer tournaments for its customers (Tesco Corporate Social Responsibilities, 2010, Para.4).

Tesco capitalizes on the power of strategic advertisement to sell its brand locally and globally. It is noted as one company that uses very many advertisements yearly. It’s advertisements emphasis about affordable prices for their products and on healthy living. Tesco’s marketing department is very dynamic and innovative on the most successive advert to employ.

The following are examples of adverts that have been used in the past; in 1982 it used its famous advert referred as “Checkout 82” .this advert involved a till with receipt coming from it with various prices. In 2003 Tesco advertised through adverts that comprised of items and shopping trolley that contained information about Tesco. Currently, Tesco is using adverts that comprises of celebrates such as the Spice Girls

In conclusion, Tesco can be considered as a very successful company that originated from scratch to become a global company through its strategic chose of its corporate strategy,

Social responsibility and Advertising. Thus, it can be a good role model for those upcoming companies that they can live beyond their odds to become among the leading organizations in the world.

Reference List

Tesco Corporate Profile (2004). Web.

Tesco Corporate Social Responsibilities (2010). Web.

Tesco PLC (2010) .Tesco Strategy. Web.

Chicago (A-D)
Chicago (N-B)

IvyPanda. (2024, February 29). Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising. https://ivypanda.com/essays/tesco-history-corporate-strategies-corporate-social-responsibilities-and-advertising/

"Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising." IvyPanda , 29 Feb. 2024, ivypanda.com/essays/tesco-history-corporate-strategies-corporate-social-responsibilities-and-advertising/.

IvyPanda . (2024) 'Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising'. 29 February.

IvyPanda . 2024. "Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising." February 29, 2024. https://ivypanda.com/essays/tesco-history-corporate-strategies-corporate-social-responsibilities-and-advertising/.

1. IvyPanda . "Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising." February 29, 2024. https://ivypanda.com/essays/tesco-history-corporate-strategies-corporate-social-responsibilities-and-advertising/.

Bibliography

IvyPanda . "Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising." February 29, 2024. https://ivypanda.com/essays/tesco-history-corporate-strategies-corporate-social-responsibilities-and-advertising/.

Marketing Strategy of Tesco
Company Analysis of Tesco
Sensory Compensation: Olfactory Habituation to Food and Nonfood Odours
Global Integration: The Tesco Experience
Tesco Strategy Analysis & Recommendations
Analysis of Tesco’s Deforestation Problem
The D.C Metro System
Tesco’s Globalisation Case Study
Tesco Operations Management: Report
Organisational Change at Tesco Revised
Ethical theories
Ethical and Moral Issues in Business
Professional Workplace Dilemma
Corporate Event: Ideal Bank Heart Dinner
Honesty in the Workplace

Five Forces
Social Media

Tesco Corporate Social Responsibility - Case Analysis 2023

Tesco corporate social responsibility – case analysis 2023.

Table of Contents

This case analysis discusses the Tesco’s CSR strategy by explaining how Tesco is creating value for all stakeholders, what challenges it is currently facing, and what are its key responsibilities as a responsible corporate citizen. The article could provide useful information to the companies trying to build their CSR reputation. Article is also useful for business management researchers, students, teachers, and anyone interested in studying the CSR concept, and its application in real world.

1. Introduction

In 2022, CHRB placed Tesco among top 30% companies with strong CSR performance. Previously in 2020, Tesco scored 76% in sustainable retailer scorecard , and became #1 sustainability retailer in Malaysia.

This article presents the corporate social responsibility Tesco case study . The article discusses the Tesco’s CSR policies, strategies, current initiatives, challenges and objectives to be achieved in future.

To get basic company information, click here .

2. Corporate Social Responsibility

Corporate social responsibility (CSR) is a management concept that guides companies to integrate the environmental and social concerns in business operations. Socially responsible corporations tend to operate in a manner that creates sustainable value for all stakeholders.

3. Corporate Social Responsibility of Tesco

3.1. tesco corporate social responsibility 2023.

Tesco performs strongly on sustainability grounds. The company is ranked 1 st among food retailers based on environmental performance, and ranked 9 th in food processors list. In 2022 and 2023, Tesco took various CSR initiatives that reflect the company’s commitment to sustainable business performance.

• Like, in 2022, Tesco launched £150,000 worth pilot program to fast-track sustainability innovation in its supply chain.

• In 2023, Tesco announced that it will include minimum 30% of the recycled trays in the new packaging

Tesco’s ‘Better Basket Campaign’ is an example of how company is encouraging its customers to make healthy choices. The stakeholder engagement for sustainable business development is a key part of Tesco 2023 CSR strategy.

3.2. Corporate social responsibility policy Tesco

Tesco CSR policy is- “ To maximize the benefits that Tesco brings to all stakeholders, and minimize any negative impact”.

Tesco CSR policy focuses on three areas:

The CSR policy reflects the Tesco’s commitment to create a positive environment and social impact, while handling business operations in a responsible and ethical manner.

3.3. Tesco Corporate social responsibility reporting

Tesco publishes corporate social responsibility reports to communicate the key CSR initiatives, achievements, and progress to achieving the sustainability objectives.

Here is the timeline of Tesco’s major CSR initiatives:

The analysis of above timeline suggests that Tesco mainly focuses more on environmental than social side to achieve the sustainability objectives.

Corporate social responsibility Tesco report outlines following objectives:

3.4. Corporate social responsibility objectives Tesco

3.4.1. emission reduction.

• Achieve net-zero carbon objective by 2050.

• Run 100% business operations on renewable electricity by 2030

Following graph shows the Tesco’s emission distribution:

Source: Statista

Above graph shows that production and supply make 50% of total emissions, and customer consumption makes 39%, while stores activity generates only 2% emissions. So, Tesco has set ambitious sustainable production targets to cut the emissions.

Click here to know about the sustainability challenges of Walmart- a close competitor of Tesco.

3.4.2. Sustainable food production

• Sustainably source 100% cocoa, palm oil and soy by 2025

• Reduce use of chemical pesticides by 2030 to encourage sustainable agriculture

3.4.3. Waste reduction

• Reduce food waste through operations and supply chain by 2030

• Entirely eliminate plastic packaging by 2025

Taking an example of Hungary, following graph shows the volume of food that Tesco rescued from getting wasted:

tesco corporate social responsibility essay

Source: Statista

3.4.4. Shift to electric transport

• Support the shift to electric transport by installing 75kW rapid charges across all Tesco stores by 2023

• Have fully electric delivery vehicle feet by 2028

Overall, the Tesco CSR objectives outline the company’s commitment to encourage the sustainable business practices in global retail industry.

3.5. Stakeholder approach to CSR

Tesco adopts the Stakeholder Approach to fulfil its corporate social responsibility. Following table shows how Tesco fulfils its responsibility towards all key stakeholders:

The Tesco corporate social responsibility strategy can be more effectively explained in light of Carroll CSR theory.

3.6. The Carroll Theory and Tesco corporate social responsibility

As per Carroll CSR Theory, a responsible business organization fulfills all its economic, legal, ethical and philanthropic responsibilities.

3.6.1. Tesco Economic responsibilities

Tesco is primarily responsible to generate profit for the shareholders, and offer viable return on investment. Tesco is fulfilling its economic responsibility by consistently making an operating profit over last seven years, as depicted in following graph:

The company expects to deliver an operating profit of £1.4bn to £1.8bn by the end of 2023. However, as per Reuters , Tesco’s profit stalls as fight with inflation lingers. In 2022, Tesco operating profit reduced by 6.3%, while its share price rose up by 1.8%.

The overall analysis shows challenging economic environment is making it difficult for Tesco to fulfil its economic responsibilities.

3.6.2. Tesco Legal responsibilities

Tesco is responsible to operate within the legal boundaries. Tesco strictly adheres to the environmental regulations, and tries to abide by the labor law. However, at often, Tesco faces the reputation damaging lawsuits due to its inability to accurately understand and abide by various business regulations. For instance,

• In 2023, Tesco lost a lawsuit against Lidl over logo- BBC reported.

• In same year, Guardian reported how Tesco mistreated its workers in Thailand, and then faced criminal charges.

• Tesco’s failure to protect online customer information resulted into £16.4 million fine in 2018.

Although, Tesco strives to be a law abiding enterprise that stays within regulatory boundaries, but still, it struggles to effectively fulfil its legal responsibility towards different stakeholders.

3.6.3. Tesco Ethical responsibilities

Tesco is responsible to conduct business in an ethical manner. The company fulfills its ethical responsibilities by taking various actions. For instance,

• Tesco encourages inclusion and diversity to build positive employer brand image. In 2021 diversity report , Tesco revealed women fill 48% of top management positions.

• Tesco takes care of animal welfare. The 2021 animal welfare report shared only less than 1% animals require secondary stunning.

However, Tesco also faces criticism for its inability to ensure the fair labor practices. For instance:

• In 2022, Tesco faced lawsuit over the cycle of forced labor. Over 130 workers sued Tesco for keeping them in insanitary and dangerous work conditions.

3.6.4. Tesco Philanthropic responsibilities

Tesco is responsible to give back to the community. Tesco fulfills its philanthropic responsibility through charity partnerships, anti-poverty donations, volunteer programs, and community development programs. Some famous charity programs include- long running support for British heart foundation, Diabetes and Cancer Research center.

• In 2022, Tesco broke its food donation record, as Tesco customers gave 12.5 million meals as food donations.

• Tesco donated more than £20 million to help people affected by pandemic.

The overall analysis suggests that although, Tesco tries to fulfil its responsibilities at all four levels, but it do faces some challenges, particularly at ethical and legal grounds.

3.6.5. Corporate social responsibility Tesco- Carroll Pyramid

Tesco Carroll CSR pyramid

Based on overall analysis of Tesco corporate social responsibility, we propose following recommendations:

4. Recommendations

• Widely integrate circular economy principles to reduce cost, and enhance operating income.

• Gain a better understanding of labor law, and ensure strict compliance to avoid lawsuits

• Conduct supply chain audit to highlight the possible violations of labor law.

• Take strict action against the forced labor.

• Collaborate more closely with supply chain partners, and help them in achieving the sustainability objectives.

• Invest on PR to respond to the allegations that portray Tesco as an unethical brand.

5. Conclusion

The review of corporate social responsibility of Tesco suggests that Tesco recognizes its responsibility towards a wider set of stakeholders. However, Tesco needs to improve its performance on ethical and legal grounds to achieve business objectives in more ethical and sustainable manner.

At international stage, Walmart is the closest competitor of Tesco. Click here to know about the Walmart’s key business strategies.

To know more about Tesco, read Tesco PESTLE analysis and Tesco SWOT analysis .

6. References

WWF Ranks Malaysia’s Most Sustainable Retailers, With Tesco Emerging at the Top . (n.d.).

foodmanufacture .co.uk. (2022, May 11). Tesco opens up supply chain to sustainability start-ups .

Mace, M. (2023, April 11). Tesco moves to close the loop on plastic ready meal trays. Edie .

Parr, J. (2022, May 18). Tesco Better Baskets campaign highlights ‘healthy zones’ instore. Grocery Gazette – Latest Grocery Industry News .

Statista. (2022f, June 24). Distribution of emissions released by Tesco 2019-2020 .

Admin, & Admin. (2023n, January 13). Walmart SWOT Analysis 2022 | In-depth SWOT Study of Walmart. Strategy Finders .

Admin, & Admin. (2023d, January 11). A Detailed PESTEL Analysis of Microsoft . Strategy Finders .

Statista. (2020, March 19). Amount of food rescued by Tesco in Hungary 2014-2019 .

Tesco : statutory operating profits UK & ROI 2022 | Statista . (2022, May 17). Statista.

Davey, J. (2023, April 13). Profits at Britain’s Tesco to stall as inflation fight lingers. Reuters .

Espiner, B. T. (2023, April 19). Lidl wins logo lawsuit against Tesco. BBC News .

Dugan, E. (2023, March 3). Thai factory used by Tesco faces criminal charges over treatment of workers. The Guardian .

Jones, H. (2018, October 1). UK watchdog fines Tesco £16.4 million for bank cyber failings. U.S.

Admin, & Admin. (2023p, January 13). Walmart SWOT Analysis 2022 | In-depth SWOT Study of Walmart. Strategy Finders .

Tesco faces lawsuit over “ cycle of forced labour ” in supplier factory . (2022, December 19). Supply Management.

New Food. (2023, January 3). 2022: A record breaking year for Tesco customer food donations . New Food Magazine .

Admin, & Admin. (2023q, January 13). Walmart SWOT Analysis 2022 | In-depth SWOT Study of Walmart. Strategy Finders .

Recent Analysis

The Power of Index Investing and Passive Strategies in Global Markets

From Doodles To Desk: A Look At Special Pencil Cases For Young Artists

Why You Should Call a Top Personal Injury Lawyer After a Truck Accident: Defending Your Lunch Money Against Big Rigs

Tesco PESTLE Analysis - PESTEL Analysis by Field Experts

[email protected]

Analysis Category

SWOT Strategy Analysis
Marketing Strategy Analysis
PESTEL Strategy Analysis
Five Forces Strategy Analysis

Top Companies

SWOT Analysis
Marketing Analysis
PESTLE Analysis
Five Forces Analysis

Sample details

Corporation

Corporate Social Responsibility

Tesco’s Corporate Social Responsibility Initiatives

Corporate Social Responsibility (CSR) has become a standard corporate governance practice in many countries, with companies prioritizing their commitment to environmental, social, and economic goals. The trend towards CSR was sparked by corporate scandals such as Enron and WorldCom, as well as increased government regulations, NGO criticisms, and media scrutiny. Customers are also increasingly concerned about companies’ impact on society and the environment. In the retail industry, companies from diverse sectors have adopted CSR initiatives. The industry has undergone significant changes in the last 20 years, with companies now prioritizing their environmental impacts.

Corporate Social Responsibility (CSR) has become increasingly popular in the corporate realm in recent decades, transitioning from a voluntary practice to a standard one in some countries, with others contemplating its adoption. Previously regarded as a mere act of goodwill, it is now imperative for companies to ensure their competitiveness and reap the advantages associated with CSR. Shareholders also lend their support to these endeavors.

Despite stakeholders being satisfied with the initiatives, there is still an important question that needs to be answered: why should a retailer spend millions of pounds on supporting CSR? As Adam Smith famously stated, “We do not rely on the butcher, the brewer, or the baker’s kindness for our dinner; we appeal to their self-interest. We don’t talk about our own needs but rather emphasize their benefits.”

ready to help you now

Without paying upfront

The proper use of funds allocated for corporate social responsibility (CSR) initiatives is vital for companies. Tesco, the UK’s top retailer, serves as a commendable example in this aspect. The trust in major corporations has been diminished following scandals at Enron, WorldCom, and similar cases, resulting in stricter government regulations. Non-Governmental Organizations (NGOs) have also grown more critical and confrontational towards multinational corporations (MNCs). Moreover, rankings and ratings now play a role in compelling companies to disclose both their financial performance and non-financial accomplishments.

Mass media has led to constant scrutiny of companies, as negative news can quickly spread globally. For instance, a child sewing a garment with a company’s logo can instantly be shared worldwide. Consequently, customers today are more curious about the societal impact of companies, including environmental issues and the effect their products have on consumers. This heightened awareness is largely attributed to mass media.

As societal demands and expectations rise, companies are under greater pressure to fulfill their responsibilities. Corporate Social Responsibility (CSR) has traditionally centered on how companies interact with stakeholders such as employees, consumers, shareholders, and society at large. As a result, CSR now plays a key role in the business world, with many companies actively showcasing their commitment to environmental, social, and economic goals.

The retailing industry, including catalogue retailing, department stores, diversified general merchandise stores, apparel retailing, consumer electronic retail stores, food and drug retailing, and specialty retail stores like toy, office supply, furniture, and automotive retailers, is a significant global industry. Despite its previous indifference towards the environment over the past two decades it has undergone substantial transformations.

Cite this page

https://graduateway.com/tescos-corporate-social-responsibility-initiatives/

You can get a custom paper by one of our expert writers

Check more samples on your topics

Tescos functional areas.

Tesco’s key functional areas Functional areas In all companies there are many different tasks which need to be carried out regularly, in order for the business to reach its aims and objectives. Stock needs to be brought, the bills and finances need to be controlled, and customer service issues dealt with and so on. In

Tescos Pest Analysis

Tesco plc is a British-based international grocery and general merchandising retail chain. It is one of the largest food retailers in the world; it operates in 14 markets across Europe, Asia and North America. According to Tesco’s annual financial report of 2011 the UK is the company’s leading market with 60% of group sales and

Evaluating Tescos Methods of success in the Retail Supermarket Industry

Supermarket

Introduction ( Company Background ) Tesco is one of the taking traders in the United Kingdom and one of the largest nutrient retail merchants in the world. It besides sells non-food merchandises such as family contraptions and clothing. Tesco has its central offices in Hertfordshire, United Kingdom and employs approximately 318 300 people.A ( Www.datamonitor.com )

Corporate Governance and Social Responsibility at Coco Cola

Introduction Corporate social responsibility has been embraced by both local and international organizations in this twenty first century. In this case, the organizations put in high regard the society’s interests. This is carried out through the organizations being responsible for the overall effects of their endeavors on environment, shareholders, employees and even customers. In this case

Corporate Social Responsibility at Dhl

Milton Friedman

Corporate social responsibility (CSR) can be defined as a way for corporations to act more responsibly by having both social and financial objectives. However, despite attempts to offer a simple definition for CSR, key authors in this field have yet to give one universal definition for the term.This is due to there being two differing

Critical Reflection On Corporate Social Responsibility Projects Accounting

The purpose of this paper is to supply a critical contemplation sing the ethical point of position of the CSR undertakings which companies are progressively establishing with the planetary emerging tendency of corporate societal duty in the concern universe today. The intent is to measure the aims of these runs, comparing if they are instead

Corporate Social Responsibility In Mauritius Accounting

AbstractionThe intent of this survey is to size up the current pattern of CSR that houses in the fiscal sector and the touristry sector, more precisely Bankss and hotels, have to prosecute themselves in CSR activities and to look into the relationship between CSR and fiscal public presentation. In Mauritius Corporate Social Responsibility ( CSR

Corporate social responsibility of ITC Limited

Corporate social responsibility (CSR) refers to the integration of self-regulation within a company's business model. It entails implementing a CSR policy that serves as an ingrained and self-regulating mechanism for businesses to ensure their adherence to legal requirements, ethical standards, and international norms.The objective is to assume accountability for and advance a positive impact on

Corporate social responsibilities are the social obligation for an organization to cater. It simply states that if an organization is fulfilling its commercial value with the help of resources provided by the society. Then, it is the faithful responsibility of that organization to provide something in return to society. Self-regulating services of charitable nature fostering

Hi, my name is Amy 👋

In case you can't find a relevant example, our professional writers are ready to help you write a unique paper. Just talk to our smart assistant Amy and she'll connect you with the best match.

Free Samples
Premium Essays
Editing Services Editing Proofreading Rewriting
Extra Tools Essay Topic Generator Thesis Generator Citation Generator GPA Calculator Study Guides Donate Paper
Essay Writing Help
About Us About Us Testimonials FAQ
Studentshare
Corporate Social Responsibility in Tesco

Corporate Social Responsibility in Tesco - Essay Example

Subject: Business
Type: Essay
Level: Ph.D.
Pages: 1 (250 words)
Downloads: 2
Author: heidenreichkyli

Extract of sample "Corporate Social Responsibility in Tesco"

Introduction Tesco is committed to corporate responsibility and it has been renowned as the leading retail company in the United Kingdom. The Tesco stores sever diverse communities in the entire country and through the interaction; they manage to fulfill its duties as a business, employer, and neighbor. The customers usually expect the company to produce more local products. In Phillips (2003), corporate social responsibility focuses on the understanding of the Tesco business and the initiated strategies and their consequences.

Corporation social responsibility in Tesco outlines the major responsibilities of the corporation towards the society where they operate. This means that despite its size, Tesco is expected to embark on a positive attitude towards the society. The stakeholder’s theory is common in the corporate social responsibility and Tesco has indicated development based on its environmental and social welfare. The corporate structure of Tesco as reflected on the responsibilities of corporate social responsibilities.

The long-term goals and development of the company are outlined. In Hunnicutt (2009), the stakeholder’s theory focuses on the development of valuable resources for the customers so that the corporation can gain their loyalty.ConclusionIn conclusion, according to the stakeholder’s theory, Tesco has managed its corporate social responsibilities; this has resulted to successful incorporation and the execution of its issues. The structure of Tesco has enabled it to implement diverse ethical aspects and formulating new strategies for CSR, Crifo and Ponssard (2010).

The stakeholder theory indicates that the major responsibility of businesses is to develop value for the consumers. This means that the CRS has the initiative of emphasizing on the company’s commitment to its stakeholders who are the employees who in return educate its consumers.List of referencesHunnicutt, S (2009), Corporate social responsibility. Detroit, MI, Greenhaven Press.Crifo, P & Ponssard, JP (2010), Corporate social responsibility. Palaiseau, les Éditions de l'École Polytechnique.

Phillips, R (2003), Stakeholder Theory and Organizational Ethics. San Francisco, Berrett-Koehler Publishers. http://public.eblib.com/EBLPublic/PublicView.do?ptiID=771691.

Cited: 0 times
Copy Citation Citation is copied Copy Citation Citation is copied Copy Citation Citation is copied

CHECK THESE SAMPLES OF Corporate Social Responsibility in Tesco

Introduction to management, m1a3 - leadership and ethics, social responsibility in uk supermarkets, how stakeholder theory linked with corporate social resoponisiblty in tesco, personal and managerial effectiveness, tesco plc adoption of corporation social responsibility through stakeholders perspective, the purpose of corporate social responsibility and its application to business, the social marketing activities of tesco.

TERMS & CONDITIONS
PRIVACY POLICY
COOKIES POLICY

Forgot Password

Get 10% Off on Your Next Order

Subscribe now to get your discount coupon *Only correct email will be accepted

Enter Your Verification Code

Approx. ~ 1 page(s)

Total Price

Thank you for your email subscription. Check your email to get Coupon Code.

Corporate Social Responsibility of Tesco

Posted by Matthew Harvey on Jul-19-2022

At EssayPandas , we help MBA and EMBA students finish their corporate-level case study projects. For example, Corporate Social Responsibility or CSR Analysis of Tesco mainly relates to the subject of Business, further touching upon sub-topics like organizational development, value proposition, corporate governance, economic development, ethics, leadership, and social responsibility.

Corporate Social Responsibility or CSR Analysis of Tesco helps ascertain the company's responsibility towards the three P's, i.e., Profit, People, and Planet. This CSR Analysis will help the managers at Tesco figure out their social responsibilities and run their business operations following the global business norms. Here below is a quick rundown of the CSR case solution. Contact us for further help in custom CSR Analysis.

1. What is Cooperative Social Responsibility

Carroll’s CSR pyramid explains why and how business organizations should realize their responsibility towards society. The model was introduced by Archie B. Carroll in 1979, who highlighted four key corporate social responsibility (CSR) dimensions into the framework- economic, legal, ethical, and philanthropic responsibility. The economic responsibility lies at the bottom of the pyramid because without achieving the economic objectives, a company cannot fulfil its legal, ethical, and philanthropic responsibilities.

According to Carroll, CSR refers to the business behavior that is economically profitable, compliant with the law, is ethical and socially supportive. The primary business responsibility is to make profits and comply with the law, and then go beyond these obligations by taking discretionary initiatives.

In 1991, Carroll categorized the CSR model into four dimensions by using a pyramid, which illustrated how businesses could build their character along the four tiered pyramid. Since its introduction, the model holds strong relevance to the contemporary business environment. Although, the pyramid design is still under discussion and at often criticized for not considering the contextual factors, the model can be practically applied to understand the corporate social responsibility efforts of any business organization. As the model is easily understandable, it makes practical application for organizations easier, as they understand how they can build their character to reach at the top of pyramid.

Overall, the model provides a conceptual framework for organizations, and encourages them to think holistically while formulating CSR strategies. If any of the level is missing, the organization cannot reach the highest CSR level.

In this report, the CSR strategies of Tesco are analyzed by applying the Carroll’s pyramid model.

2. Model application on Tesco

2.1 corporate social responsibility (csr) objectives of tesco.

Tesco aims to reach the carbon neutrality, reduce environmental externalities, promote voluntarism among employees and donate to the charity. Company is committed to the highest social responsibility standards across the whole supply chain. Tesco ensures that all its suppliers comply with the environmental standards, take care of workers’ safety, treat them with respect and dignity and adopt environment-friendly manufacturing processes. To achieve these CSR objectives, Tesco is taking various economic, legal, ethical, and philanthropic initiatives, which are explained in the next section.

2.2 Dimensions of corporate social responsibility

2.2.1 economic responsibility, 2.2.1.1 economic responsibility of tesco.

Tesco fulfills its economic responsibility by focusing on the practices that support long-term business growth, while accomplishing the set philanthropic, environmental, and ethical standards. Company balances its economic decisions with the overall impact on society. It offers products and services that society needs, and makes a profit from them to continue business operations.

The economic expectation is considered basic social responsibility, because society expects Tesco to become profitable so that it could incentivize the investors to invest for business continuity. In its origin, society considers Tesco as an institution that produces and sells goods/services to make a profit in a way that benefits all stakeholders.

2.2.1.2 How Tesco fulfils its economic responsibility?

Tesco fulfills its economic responsibility by taking the following initiatives:

Generate high and consistent level profitability- Tesco strives to generate high profitability on a consistent level by leveraging the opportunities that help business in targeting new products and customer markets. Through effective and efficient business management, the company is able to reduce the costs, which further increases the profit margin.
Minimize costs- Cost minimization is another key economic objective. Tesco reduces its costs by actively managing the variable costs. Company also invests on automated technologies to reduce the labor costs. Cost reduction objective is also achieved by diligently tracking the expenses, and making the most out of available resources.
Reduce waste- Another important initiative taken to reduce the costs is the introduction of the new manufacturing process that is helping Tesco in minimizing the waste. Waste minimization is not only helping Tesco in fulfilling its environmental responsibility, but it also enables the business to cut costs and maximize profitability. Tesco is also aiming to increase the use of recycled products that could lower the material cost and benefit the society by consuming lesser resources.
Increase operational efficiency- Tesco strives to operate a business at high-efficiency level. To do this, the company arranges regular training sessions to reduce the error rate and streamline communication between all supply chain partners. The company encourages continual improvement culture and arranges mechanisms to measure the performance. Data is collected to review and refine processes, and information required to fix the operational inefficiencies is made easily accessible. By doing so, Tesco has been successful in maximizing its operational efficiency, which reflects into reduced errors, improved accuracy and enhanced customer satisfaction.
Increase product and service quality- Customer retention is another important economic objective of Tesco, which is achieved by increasing the product/service quality. The company has infused the quality into work culture, and employees are trained to deliver superior customer service. Periodic surveys are arranged to take the opinions of customers, and collected data is then used further enhance the product/service quality according to customers’ expectations.
Maximize sales- Sales maximization is another economic objective of Tesco. Company adopts various strategies to maximize the sales. Through successful cost reduction, the company offers discounts to customers to drive sales. Other key measures taken to achieve the sales increase target include- expansion to new markets, introducing new products, and adopting effective marketing and communication strategies.
Maintain strong competitive positioning- To strengthen the competitive positioning, Tesco invests on emerging innovative technologies. Company invests on market research to know its customers, and strengthens collaboration with its strategic partners to proactively respond to the external environmental changes.

These all economic initiatives are helping Tesco in fulfilling its economic responsibility so that it could remain sustainable and continue its business operations for benefit of all involved stakeholders.

2.2.1.3 Relevant stakeholders

By taking economic initiatives, Tesco fulfils its responsibility towards- shareholders and investors who expect the company to generate an attractive return on investment, customers who expect high product quality at reasonable prices, and employees who expect a fair and safe work environment. Fulfilling these all economic responsibilities provides the foundation of CSR pyramid.

2.2.2 Legal responsibility

2.2.2.1 legal responsibility of tesco.

Legal responsibility of businesses involves compliance with the set rules and regulations. Tesco is expected to ensure compliance while functioning within society. These basic rules reflect society’s viewpoints of codified ethics, and determine how Tesco could conduct its business practices in a transparent and fair manner. Local, regional, and national level legislators define these laws and regulations, which ensure that the business makes a profit without compromising over the greater good of society. In order to avoid the lawsuits that may result from the non-compliance, Tesco has appointed a compliance officer on a high-level position in the organizational chart to ensure the business meets all basic legal responsibilities.

2.2.2.2 How Tesco fulfils its legal responsibility?

Products/services complying legal standards- Tesco produces products/services that meet legal standards. Product safety standards are met, and only those products/services are produced that are legally allowed. While advertising products, Tesco avoids vetting misleading claims about products and business practices to defraud consumers.
Labor law- Labor law encompasses various laws related to employment, remuneration, work conditions and industrial relations. Tesco complies with labor law by complying with the minimum wage law for workers. Workplace safety is ensured by complying with the occupational health and safety standards. Company complies with the industrial relations act to manage the relationship with workmen and settle industrial disputes. Company also ensures the effective implementation of anti-discrimination laws to provide an open, inclusive and equitable work environment.
Contract fulfillment- Tesco fulfils all its contracts with internal and external stakeholders to protect their rights as per each agreement. It fulfills general employment contracts, partnership agreements, indemnity agreement and contracts related to property and equipment lease. Company also fulfills its legal duties towards suppliers by remaining fair in its dealings with vendor organizations. It also helps suppliers in maintaining the approved quality and expected delivery standards.
Intellectual property- Tesco takes care of all intellectual property laws to enforce and protect the rights of owners and creators of inventions. The intellectual property areas include trade secrets, patents, trademarks and copyright laws.
Privacy and information protection- Tesco has clearly stated its privacy policy, and takes all relevant measures to protect the customer information. Management has appointed data security and compliance incharge who take appropriate measures to prevent the identity theft.
Environmental law- Tesco strictly complies with the environmental legislations to reduce the hazardous waste, and takes care of the biopersity and conservation issues to prevent pollution incidents.
Paying taxes and other duties- Tesco pays all taxes and other duties to the government as a responsible corporate citizen. Company keeps all its accounts clean and transparent to facilitate the government in tracking business’s economic state.

2.2.2.3 Relevant stakeholders

Overall, Tesco is a law abiding, a social responsible enterprise that operates within the regulatory boundaries, and complies with various laws like environmental, criminal and labor laws. All major stakeholders including customers, suppliers, employees, regulators and general society have expectations from Tesco to behave like a responsible legal entity, and Tesco fulfills all its legal obligations towards societal stakeholders. Inability to take care of the legal rights of any stakeholder group could damage the Tesco’s reputation, and company may also face expensive lawsuit.

2.2.3 Ethical responsibility

2.2.3.1 ethical responsibility of tesco.

Tesco has an ethical responsibility towards all key stakeholders. Fulfillment of ethical responsibility requires Tesco to operate in ethical and fair manner. To embrace ethical responsibility, Tesco treats all concerned stakeholders including customers, suppliers, employees, investors, and leadership fairly. The ethical responsibility extends beyond normative expectations. By taking the ethical responsibility, Tesco embraces activities, practices and standards that are not necessarily written down but are expected by the society. It could be difficult to differentiate between ethical and legal expectations as legal regulations are based on ethical premises but the ethical expectations go beyond basic laws.

2.2.3.2 How Tesco fulfils its ethical responsibility?

Tesco fulfills its ethical responsibility by taking following initiatives:

Tesco sets higher minimum wage to its employees, and makes sure that all workers get competitive pay that justifies the efforts they exert to accomplish the assigned tasks and responsibilities.
Besides complying with the laws dictating workers’ rights, Tesco takes a step ahead by taking employee welfare initiatives. Company trains its employees to take better care of mental and physical health, and adopt a more environmentally responsible attitude. Company also helps its employees in their professional development, and develops work environment that makes work life balance easier for employees.
The company guarantees that all raw material is ethically sourced from the suppliers take care of environment. All products and services across whole supply chain are sourced in an ethical manner. Company further ensures that the products obtained from the suppliers are sourced through sustainable methods.
All stakeholders including suppliers, employees and distributors are treated with respect and in fair manner.
The company adopts ethical labor practices for supply chain partners that include using products that are certified as meeting the fair-trade standards.
Tesco realizes its responsibility towards environment, and beyond complying with the basic environmental laws, company is actively taking initiatives to reduce the carbon footprint, and invests heavily in environment-conscious businesses.

2.2.3.3 Relevant stakeholders

Tesco recognizes and respects the evolving moral and ethical standards that are adopted by the society. Management prevents infringement of ethical standards while pursuing business objectives, and acknowledges that the ethical behavior and integrity goes beyond compliance with basic laws and regulations.

2.2.4 Philanthropic responsibility

2.2.4.1 philanthropic responsibility of tesco.

Philanthropic responsibility denotes the Tesco’s aim to make world a better place to live. Other than fulfilling the legal and ethical expectations of society, Tesco also fulfills its philanthropic responsibility by getting actively engaged in the volunteer work. The company dedicates a specific portion of earnings on charity.

2.2.4.2 How Tesco fulfils its philanthropic responsibility?

In order to fulfil the philanthropic responsibility, Tesco takes the following initiatives:

Company trains its employees to spend specific hours every month in doing volunteer work for the society.
Every year, company dedicates a specific portion of earnings for various societal causes.
Tesco also raises funding for the educational programs, and supports health initiatives for the betterment of society
Company offers free products/services to the people who cannot afford them.
Company supports the volunteer projects that are executed for broader social welfare
Tesco provides voluntary assistance to the public and private educational institutions to educate the society and make education affordable for all.
Company also voluntarily assists the fine and performing arts, and arranges the cultural events for society.

2.2.4.3 Relevant stakeholders

The fulfilment of philanthropic responsibility enables Tesco to meet the expectations of society and the general public. It strengthens the company’s brand image, and effective communication of the charitable work increases the stakeholders’ trust over business operations.

Multiple stakeholders indirectly benefit from the company’s philanthropic work. Like investors benefit from improved brand image, customers prefer brands with a socially responsible image, and employees take pride in getting associated with an organization that takes care of society. The society and general public for which the philanthropic actions are taken are the stakeholder group that derives direct benefit from the company’s philanthropic work.

2.3 Critical success factors of Tesco’s corporate social responsibility

Tesco has been successful in implementing economic, legal, ethical and philanthropic CSR initiatives. This section outlines some factors that are considered critical for CSR success.

2.3.1 Human resource

Tesco has knowledgeable, skilled and competent employees who are responsible to implement CSR initiatives. Workforce owns the company’s CSR objectives, and is skilled to accomplish them.

2.3.2 Integration of CSR in strategic decision making

Tesco has not only integrated the CSR into routine activities through a well-planned change process, but also considers CSR objectives while taking important strategic decisions. Such integration is vital for achieving the CSR objectives across all four dimensions.

2.3.3 Stakeholder relationships

Tesco understands that successful implementation of CSR initiatives requires the company to manage close relationships with all key stakeholders, including customers, employees, supply chain partners, and general society. To do this, the company tailors its communication and relationship management strategies according to the relevance, importance and impact of each stakeholder group. Tesco also ensures that all CSR initiatives are effectively communicated to relevant stakeholders through appropriate channels.

2.3.4 Benefits evaluation

Tesco has identified CSR performance measurement metrics that are used to evaluate the return on investment. Through benefits evaluation, the company convinces the investors about how investment on various CSR initiatives is benefitting the business in either direct, or indirect manner.

2.3.5 Long-term view

Finally, it is very important to hold the long-term view. Top management of Tesco understands that investment on CSR initiatives cannot give a tangible economic return in the short run. Therefore, management adopts a holistic view while evaluating the CSR benefits for the organization.

After understanding the critical success factors for successful CSR implementation, next section now discusses the drivers that motivated the Tesco to actively engage in CSR activities.

2.4 Drivers for Tesco’s CSR efforts

2.4.1 brand image.

Strong brand image is a powerful driver behind Tesco’s CSR efforts. Company uses CSR as a tool to differentiate itself from competitors. The CSR initiatives have helped Tesco in positioning itself as a socially responsible entity, due to which it is trusted by existing customers. CSR initiatives have also generated a positive brand image in potential customers’ minds.

2.4.2 Regulatory pressure

Although, adoption of certain CSR initiatives (like ethical and philanthropic) remains voluntary, but the regularly pressure to ensure active engagement in CSR activities is gradually making CSR inevitable. For instance, the government’s rising pressure to reduce the carbon footprints is pressurizing company to engage in environment protection initiatives.

2.4.3 Customer pressure

Customers are becoming increasingly vigilant of business’s social and environmental performance, and prefer brands with positive CSR image. Tesco responds to this pressure by taking CSR initiatives that meet customers’ expectations.

2.4.4 Competitor pressure

Considering the impact of CSR on tangible and intangible business performance, competitors are widely adopting CSR as a tool to achieve business objectives. It has created an environment in which investment on CSR efforts has become almost inevitable. Tesco has to invest on CSR to remain relevant in the intensively competitive market.

3. Conclusion

To conclude, business organizations must understand the importance of corporate social responsibility to ensure long-term survival. Tesco considers CSR a mandatory practices that can no longer be ignored. By investing on economic, legal, ethical, and philanthropic CSR activities, Tesco has successfully improved its brand image in stakeholders’ mind. By taking initiatives for the environment, social welfare, and benefit of broader stakeholders, Tesco has gained positive media coverage, which has strengthened its positioning in a competitive marketplace.

Customers feel satisfied when they purchase product from a company that helps the community. Employees also take pride in getting associated with a socially responsible organization, and winning the investors and shareholders’ trust over business operations also becomes easier when business demonstrates its ability to meet the expectations of all stakeholders without compromising over economic objectives.

By wisely investing on the CSR initiatives, Tesco has been successful in boosting its long-term growth and profitability. While living in a globally interconnected world, it is important for businesses to collaborate with all stakeholders and take care of each other’s’ needs that could eventually benefit themselves.

Although, Carroll’s CSR pyramid model provides valuable guidance about how companies can ensure their long-term survival, but model does not provide guidance about how businesses could avoid the clash between CSR and business objectives. Model also focuses on only four CSR dimensions and does not identify the contextual variables that may positively or negatively influence the firm’s ability to implement CSR strategies.

4. References

Anyalebechi, S. M., & Owugah, L. (2022). Contradictions between Carroll’s Pyramid of Corporate Social Performance Model: A Case of Shell Nigeria. International Journal of Development and Public Policy, 2(5), 183-201.

Baden, D. (2016). A reconstruction of Carroll’s pyramid of corporate social responsibility for the 21st century. International journal of corporate social responsibility, 1(1), 1-15.

Carroll, A. B. (2016). Carroll’s pyramid of CSR: taking another look. International journal of corporate social responsibility, 1(1), 1-8.

Claydon, J. (2011). A new direction for CSR: the shortcomings of previous CSR models and the rationale for a new model. Social Responsibility Journal.

Ehie, I. C. (2016). Examining the corporate social responsibility orientation in developing countries: an empirical investigation of the Carroll's CSR pyramid. International Journal of Business Governance and Ethics, 11(1), 42755.

Gholami, S. (2011). Value creation model through corporate social responsibility (CSR). International Journal of Business and Management, 6(9), 148.

Lu, J., Ren, L., Zhang, C., Rong, D., Ahmed, R. R., & Streimikis, J. (2020). Modified Carroll’s pyramid of corporate social responsibility to enhance organizational performance of SMEs industry. Journal of Cleaner Production, 271, 122456.

Masoud, N. (2017). How to win the battle of ideas in corporate social responsibility: the International Pyramid Model of CSR. International Journal of Corporate Social Responsibility, 2(1), 1-22.

Nalband, N. A., & Kelabi, S. A. (2014). Redesigning Carroll’s CSR pyramid model. Journal of Advanced Management Science, 2(3).

Paul, E., Gibson, J., & Smith, P. (2019). Influential Article Review-The Global Pyramid Model of CSR-What is the Best Way to Perform Corporate Social Responsibility. Journal of Leadership, Accountability and Ethics, 16(6), 1-27.

Schwartz, M. S., & Carroll, A. B. (2003). Corporate social responsibility: A three-domain approach. Business ethics quarterly, 13(4), 503-530.

Štreimikienė, D., & Ahmed, R. R. (2021). Corporate social responsibility and brand management: evidence from Carroll’s pyramid and triple bottom line approaches. Technological and Economic Development of Economy, 27(4), 852-875.

PESTEL Analysis of Tesco
Hofstede Cultural Model of Tesco
Net Present Value (NPV) Analysis of Tesco
Marketing Mix (4Ps) Analysis of Tesco
Tesco Discounted Cash Flow (DCF) Analysis
VRIO Analysis of Tesco
Marketing Strategy for Tesco
Blue Ocean Strategy of Tesco
Tesco SWOT Analysis
WACC Analysis of Tesco

9413 Students

Can’t be wrong.

Ph.D Experts

Latest Feedback

Brittany John

Human Resource Management

Cournie David

Finance (with Excel)

Lourie Charles

Calculate the Price of Your Order

(Approximately - 0.0 Pages)

Ping An Corporate Social Responsibility
Sam's Club Corporate Social Responsibility
LG Group Corporate Social Responsibility
Capital One Corporate Social Responsibility
Engie Corporate Social Responsibility
Sky Corporate Social Responsibility
Uber Corporate Social Responsibility
Telstra Corporate Social Responsibility
KPMG Corporate Social Responsibility
Bank of Communications Corporate Social Responsibility

Previuos Article

MUFG Corporate Social Responsibility
EY Corporate Social Responsibility
Sumitomo (Conglomerate) Corporate Social Responsibility
Accenture Corporate Social Responsibility
Lowe's Corporate Social Responsibility
JP Morgan Corporate Social Responsibility
China Merchants Bank Corporate Social Responsibility
China Telecom Corporate Social Responsibility
Tata Corporate Social Responsibility
Hitachi (Conglomerate) Corporate Social Responsibility

Be a great writer or hire a greater one!

Academic writing has no room for errors and mistakes. If you have BIG dreams to score BIG, think out of the box and hire EssayPandas with BIG enough reputation.

Our Guarantees

Quality assured
Proof of no plagiarism
Qualified writers
Data security
24/7 support
On time delivery

Interesting Fact

Most recent surveys suggest that around 76 % students try professional academic writing services at least once in their lifetime!

Related Services

Essay Writing Service

Dissertation writing

Report Writing

Research Paper

Get tailored help the way you need it on any academic task..

We are here to help. Chat with us on WhatsApp for any queries.

Sales Support

Order Now

Tesco's Corporate Social Responsibility (CSR)

Published Date: 23 Mar 2015 Last Modified: 04 Jan 2018

Disclaimer: This essay has been written and submitted by students and is not an example of our work. Please click this link to view samples of our professional work witten by our professional essay writers . Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of EssayCompany.

Introduction

Tesco Plc is considered as the king of supermarkets in Britain. Its business is related to the small grocery stores under the Tesco Metro brand name, big supermarkets outside cities (Tesco Extra) and 24-hour stores. Its stores are not limited to food sector but also to provide books, CD/DVD/mini-discs, hi-fi and household appliances, household equipment, flowers, wine, apparel and many other items. In January 2003, Tesco takes over its key competitor in the British Territory, T & S Stores. Currently, it employed 270,800 fulltime employees worldwide. Tesco has adapted rapid technological changes to boost its sales. Such as its on-line sales site - Tesco.com, is now heavily contributing to its profits in recent years. The Group currently holds almost 1,988 stores in the UK and 1265 stores outside UK (Annual Report, 2007). Today, its market capitalization has reached £36.60 billion. (Reuters, 2007)

Tesco plc is a British - based grocery and general merchandise international retail chain. It is the largest British retailer by global sales and domestic market share with profits exceeding £2 billion. In 2008, the company achieved German retail giant Metro AG to make the third largest retailer in the world, the first movement among the top five since 2003. Originally specializing in food, has diversified into areas such as clothing , consumer electronics , consumer financial services , retail selling and renting DVDs , CDs , music downloads , Internet service , consumer telecoms , consumer insurance , consumer dental plans and software .

Part 1: Project Objectives and overall research approach.

Tesco background..

In 1919, Tesco Plc was established by Jack Cohen, by utilising the bonus which he achieved for his services in the World War I army. Then in 1924, he purchased a tea consignment from the company TE Stockwell. He decided to put the initial three alphabets of TE Stockwell and the initials of his name Cohen collectively to name his brand 'TESCO'.

In 1929 Cohen opened the very first Tesco store in Edgware, London. Originally, Cohen's formulated the strategy of "Piling it high, selling it cheap". Despite the fact that this strategy assisted Tesco in attracting a great amount of consumers, it also assisted Tesco in branding itself as a store for average class consumers and even earned an image as a low-end store.

When Imperial Tobacco Company decided not to acquire Tesco because the company thought that the deal could damage its reputation, after considering of buying the company, Tesco's brand image was further thrashed. Throughout the seventies, numerous analysts recommended the Tesco to transform the name of the company.

Tesco obtained several companies during the seventies such as Williamsons, Burnards, John Irwins, Harrow Stores, Victor Value and Charles Phillips. However, all these businesses were not incorporated appropriately with Tesco, and a large number of these stores were not well organised.

Furthermore, Tesco had small and poorly equipped stores as well. The only competitive edge Tesco had was the price. The products that were available at the store seemed to be of ordinary. Due to the rise in the income of customers in Britain, the customers did not want to look for bargains. They were now seeking high quality products.

In order to cater these changing demands of the customer, Tesco decided to close down its numerous stores to focus on superstores to provide improved quality.

Brief data & Aims and Objectives.

Tesco is one of the biggest food retailers in the world, functioning over 3,200 stores. The assembly is furthermore one of the biggest online food retailers.

The objective of this study is to investigate the Tesco's business ethics and corporate social responsibility. The business analysis will be conducted through PEST analysis and SWOT analysis. The target is to have an analysis of Tesco's corporate social responsibility policies including business ethics and their impact on its business practice and its key stakeholders.

Industry Activities.

Tesco is one of the biggest food retailers in the world and biggest food retailer in the UK. It functions round 3,300 stores. In supplement to food, it furthermore functions in the non food segment. The company functions through multiple shop formats encompassing Extra, Superstore, Metro, Express and hypermarkets. The company functions in three geographical segments: the UK, Rest of Europe and Asia. The organisation is one of the biggest online retailers in the world. Tesco has a long period strategy for development, founded on four key parts: development in the Core UK, to expand by increasing internationally, to be as powerful in non-food as in food and to pursue clients into new retailing services.

Tesco is undoubtedly an entire shopping centre in itself. Everything is literally discovered in one roof. No longer restricted to food shop pieces, it boasts services that would permit a consumer to avail of everything in one stop. Besides the additional trading of publications, cds, digital melodies, videos, blossoms, sport and gardening they furthermore supply economic services (e.g. borrowing cards, borrowings, mortgages, savings) protection services (e.g. vehicle, house, life, travel) telecoms services (e.g. Internet, residence and wireless phone) and wholesome household services (through its Tesco eDiets and wholesome household club) .Tesco has evolved diverse types of Tesco shops extending from Tesco Extra, Metro Tesco and Tesco Express in its extending quest to correctly address the desires of their diverse clients when and where they desire it.

According to information gleaned from the web, the British retail group Tesco returns in recent weeks, an image blurring. It symbolizes the many facets of the reputation of a company facing a diverse audience, especially in times of crisis.

Like many entrepreneurs, the boss of the group, Sir Terry Leahy, is firmly committed to the greenway, including offering reusable bags, which allowed him to avoid the production of 2 billion bags plastic.

Tesco is also involved in the Global Social Compliance Programme (Global Social Compliance, GSCP), an initiative of distribution groups, which involves Carrefour. Created in 2006, the GSCP is to converge in terms of their supply chain standards for social audits, share best practices and contribute to the improvement of working conditions. The platform intends to issue a single message, consistent and shared based on ILO standards and the UN to all suppliers. She met 26 companies including Carrefour. GSCP's Advisory Council is composed of the International Federation of Human Rights, the UNI Commerce, CSR Asia and the UN Office for International Partnerships. Although this initiative is not under ground, it remains unknown to the general public.

In addition, the group Tesco, which has 280,000 employees in Britain, has actively supported Marie Curie Care Centre, giving him 6.3 million pounds, twice more than expected. This sum is intended to fund over 315,000 hours of nursing care to more than 5,600 terminally ill patients and their families, all at home. Some £ 500,000 has been collected outside of Tesco stores, 2 million pounds were lifted further by the store staff, £ 500,000 by the distribution centre employees and the remainder from the rest of the group. The Tesco Charity Trust. The Tesco Charity Trust has brought its side 20% of the amount raised by staff. Yet, at virtually the same period, the website of UNI Global Union deals with social conflict in a Tesco supermarket in Douglas, Ireland, in which the union intervenes Mandate.

Moreover, Greenpeace believes that Tesco, Marks and Spencer but are complicit in the Amazonian deforestation by importing Brazilian beef. This breeding would have dramatic consequences for biodiversity and global warming. According to an AFP dispatch, other multinationals, major commodity in this region, are singled out: Adidas, BMW, Carrefour, Ford, Honda, Gucci, IKEA, Kraft, Toyota and Wal-Mart.

Faced with such a stream of positive news or disturbing, it appears that a company that cares about its reputation must advance on all fronts at the same time taking into account all its stakeholders, the difficulty being that they are extremely diverse for a group the size of Tesco.

Part 2: Information gathering and accounting/business techniques.

This study is established on both primary as well as secondary data. The study methodology utilised is the review of diverse literatures which are accessible online. This study engaged investigations from the brief reports, items from periodicals, and online material accessible on the web. Using the methodology checked in preceding investigations, this study started with a very broad review of the literature. The outcome and deductions are founded on the secondary data.

The methodology utilised for the purpose of this study is established on the secondary data. This study is more or less founded on the review of publications and the reasonings are drawn on the cornerstone of genuine assets recorded in the references. Financial facts and numbers will be accumulated from the yearly accounts of Tesco.

Primary data is mainly obtained through the annual report of Tesco 2010 which is available online. Primary data assemblage is essential when a investigator will not find the data required in secondary sources. Market researchers are involved in prime facts and figures about demographic/socioeconomic characteristics, attitudes/opinions/interests, awareness/knowledge, aims, motivation, and behavior. Three basic means of obtaining prime facts and figures are observation, surveys, and experiments. The alternative will be leveraged by the environment of the difficulty and by the accessibility of time and money.

Examples encompass reviews, meetings, facts, and ethnographic research. Agood investigator knows how to use both prime and secondary causes in her writing and to integrate them in a cohesive fashion.

An important source of primary data is survey research. The various kinds of surveys (personal, posted letters, computer, and telephone), are described ahead. Experiments are another significant source of data for trading research tasks. The environment of experimentation, the types of untested designs, and the uses and limitations of this procedure of getting data are furthermore clarified ahead. Experiments are conducted in either a laboratory setting (most advertising exact replicate pretests) or in a field setting (test marketing). Electronic and computer technologies have revolutionized both these environments, which are recounted later.

Conducting prime research is a helpful ability to come by as it can substantially supplement study in lesser causes, such as periodicals, publications, or books. Primary study is an very good ability to learn as it can be useful in a kind of backgrounds encompassing business, personal, and academic.

The secondary data that are accessible are somewhat quick and cheap to get, especially now that computerized bibliographic search services and databases are available. The various sources of the lesser facts and figures and how they can be obtained and utilised are described ahead.

Tesco provides an inclusive offer. It describes Tesco's ambition to cater its customers of top, middle and low income in the same stores. Tesco has invented a reward system known as the Club-card which collects the essential consumer data that is used to provide specific service to cater the needs and potential wants of consumer. When shoppers sign up for the Club-card, they initially submit their profile which includes gender, age and address. Tesco could divide their customers into segments by relying on these aspects. The information of the goods purchased is instantly uploaded into Tesco's database the minute the consumer purchases it. Product information was used to sell cross-sell additional products and services such as delivery of groceries.

Beginning in 1997 when Terry Leahy took over as CEO, Tesco began marketing itself to using the phrase "the way to Tesco" to describe the purposes, values, principles, and goals of the foundation of the company. This phrase became the standard marketing speak for Tesco as it expands nationally and internationally under Leahy's leadership, implying a change in the company to focus on people, customers and employees.

Corporate social responsibility (CSR) can be defined as the active and voluntary contribution to improving social, economic and environmental factors by companies, usually with the aim of improving its competitive position and its value . The performance evaluation system throughout the organization in these areas is known as the triple bottom line.

Under this concept of administration and management encompasses a set of practices, strategies and business management systems that seek a new balance between economic, social and environmental. The history of CSR can be traced back to the nineteenth century under the Cooperatives and Associations who sought to reconcile business efficiency with social principles of democracy, self-help, community support and distributive justice. Its leading exponents are now companies social economy , by definition Socially Responsible Companies.

Corporate social responsibility (CSR) aims for excellence within the company, taking with special attention to people and their working conditions and the quality of their production processes. Corporate social responsibility is the set of actions that take into account the companies so that their activities have a positive impact on society and affirm their principles and values that govern both in their own internal methods and processes in its relationship with other actors. CSR is a voluntary initiative.

It is the conscious and consistent commitment to comply fully with the mission of the company both internally, and externally, considering the expectations of all participants in the economic, human and social environment, demonstrating respect for ethical values, people, communities and the environment and to build the common good. The responsible management of the company implies that this act reconcile (balance point) between business interests and expectations that it is the community (particularly its stakeholders-stakeholders)

The main ethical responsibilities of business with the workers and the community are:

Serve the society with useful and fair.

Create wealth in the most effective way possible.

Respect human rights to decent working conditions that promote health and safety and human development and professional workers.

Ensure the continuity of the company and, if possible, to achieve reasonable growth.

Respect the environment wherever possible avoiding any kind of pollution minimizing waste generation and more efficient use of natural resources and energy.

Enforced laws, regulations, rules and customs, while respecting the legitimate contracts and commitments.

Ensure equitable distribution of wealth generated.

Business ethics and therefore business morality generally result from an individual's own moral standards in the context of the political and cultural environment in which the organization is operating. Ethics are founded on moral principles that are themselves grounded in effects. This holds true whether you subscribe to the idea that a moral judgment must fulfill only formal conditions that are universal and prescriptive or whether you think it must also meet a material condition for the welfare of society as a whole.

Social responsibility, another term for good citizenship, means producing sound products or reliable services that don't threaten the environment and contributing positively to the social, political and economic health of society. It also means compensating employees fairly and treating them justly, regardless of the cultural environment in which you operate.

Corporate social responsibility (CSR) is a concept that describes the activities of companies beyond revenue; the term is increasingly used to describe the role of any business in society. CSR involves a wide commitment by companies to social health and the common good and policies that support them. This involves not only the products a company produces, but also be a good corporate citizen in terms of employees hired and how to find them. It also has to do with protecting the environment and participating in the local community and the wider culture in which the company engages in business.

Broadly speaking, CSR has three key components:

â€¢ The basic values, ethics, policies, and practices of a company's business;

â€¢ The voluntary contributions made by a company to community development;

â€¢ The management of environmental and social issues within the value chain by the company and its business partners-from the acquisition and production of raw materials, through the welfare of staff, to product sale, use, and disposal.

Part 3: Results, Analysis, Conclusions and Recommendations.

This part discusses the corporate social responsibility initiatives of Tesco and its impact on the internal and external environment of the company. It details the activities undertaken by Tesco's management and employees to contribute to the benefit of the society and the community in which the company operates.

It also discusses the active role played by Tesco in protecting and regenerating the environment and in extending the CSR initiatives to its suppliers.

It also highlights a few criticisms against Tesco including polluting the environment in some countries and not adhering to its CSR standards.

Examine a company's responsibility towards the society

Understand the importance of social and environmental issues

Determine how a company's stand on social and environmental issues can contribute to enhancing the company's image

Benefits of Corporate Social Responsibility

In the last decade, a large number of companies have recognized the benefits of incorporating basic practices and social responsibility policies. Their experiences have been backed by a series of empirical studies that show that the RS has positive impacts on business values, measured in several ways. Companies have also been encouraged to adopt or expand efforts of RS as a result of pressure from consumers, providers, community, investors, activist organizations and other stakeholders.

As a result of studies in recent years, the RS has increased dramatically in companies of all sizes and sectors that have developed innovative strategies.

These benefits are numerous and can be measured both quantitatively and qualitatively, is also found that the company may enjoy greater loyalty from consumers, employees work more comfortable, the shares have greater stability, and saves costs potential legal and administrative sanctions.

The advantages found are:

â€¢ Financial Performance Improvement

The study published in 1999, Business and Society Review, showed that 300 large corporations found that companies that made a public commitment to honor their code of ethics, performance showed a three times higher than those who did not, on the parameter value added in the market.

In another recent study by Harvard University found that companies with a balanced action between employees and shareholders showed a growth rate four times higher and employment growth rate eight times higher than those of companies focused only to shareholders.

â€¢ Reducing Operating Costs

There are several initiatives that can help a company reduce its operating costs and increase productivity, particularly those related to the environment and the workplace. By way of example are: programs for balance between personal life and work to help reduce absenteeism and increase employee retention as well as allow companies to reduce costs in recruitment and training or retraining initiatives aimed at eliminating scrap costs and generates revenue through the sale of materials.

There are several practical examples of significant environmental savings. For example, Dow Chemical Co. and the National Resource Defense Council established an alliance in order to reduce the production of 26 toxic chemicals to only one. For this reason they have managed to save 5.4 million a year, and as an added benefit the quality of their products.

â€¢ Improved brand image and reputation

In the global economy, brand image and reputation are among the most valued strengths. Responsible marketing practices, by nature, are highly visible to consumers and have the potential to strengthen or weaken the public's opinion about a company or brand.

â€¢ Capital Markets

The latter continue to grow at high rates in most developed countries have begun to grow in developing countries.

â€¢ Innovation

Socially responsible organizations have an innate tendency to innovation in products and processes, which helps them to anticipate events allowing lead changes in the composition of their products, improve quality and human security of their production processes, improve security and quality of domestic activity, ahead of the competition in the launch of new products, the implementation of different types of future legal regulations, etc.

Corporate social responsibility: the internal dimension

The views that are considered to fall within the internal dimension, the company has under Social Responsibility (SR), are: human resources management, health and safety at work, adapt to change and environmental impact and management of natural resources.

â€¢ Human resources management:

When it comes to RS the first thing you think is that a company be socially responsible before the society or community in which it resides, it must be with the employees taking into account that one of the biggest challenges is to have people trained and sense of belonging in this context the company should include measures such as lifelong learning, improving the information on the company, a better balance between work, family and distraction, greater human resource diversity, equal pay and prospects opportunities for women, participation in profits or shareholder of the company and the consideration of employability and safety in the workplace.

Another way to be socially responsible is when you discriminate against persons because of race, color or sex, responsibility and accounting practices that help meet the country's economic policies such as employment generation.

â€¢ Health and safety in the workplace:

Usually the health and safety have been addressed from a legal standpoint, but now companies, governments and sectoral organizations seek new ways to penetrate and promote this issue, especially now that both companies and consumers are more sensitive to values and ethical issues related to the production process.

This and other practices such as SA8000 Certification which will be detailed in the next article help the company to be socially responsible.

â€¢ Adapting to change:

Any country suffers when companies are restructuring because of manpower cuts can generate economic and social crisis of great magnitude, but the community suggests that a restructuring from the point of view socially responsible means to balance and take into account the interests and concerns of all affected by the changes and decisions.

â€¢ Management of environmental impacts and natural resources:

The corporate social responsibility is closely related to the environmental impact generated by the proposed objectives and that directly affect communities.

Therefore the environmental field can be considered as a solid framework for the promotion of corporate social responsibility.

Corporate social responsibility: the external dimension

The company should be socially responsible with local communities, business partners, suppliers, customers, employees, shareholders and the environment among others.

â€¢ Local communities:

The corporate social responsibility with local communities to be expressed in:

1. Integration of the companies in their local environment.

2. Contribution to community development in terms of employment generation.

3. Establishment of training commitments of the community, environmental conservation, and procurement of socially excluded people, caring for children in daycare, sponsoring cultural and sports activities at the local level, donations to charity.

4. Participation in social welfare projects.

â€¢ Business partners, suppliers and consumers:

Relationships with partners, suppliers and consumers are especially important for businesses, thereby reducing costs and increasing quality. The main features to be emphasized as the relationship with partners, suppliers and consumers are:

1. Large companies are both partners of the smaller companies either, as customers, suppliers, contractors and competitors.

2. Companies are aware that their social performance can be affected by the practices of their partners and suppliers throughout the production chain.

3. The companies are responsible for promoting entrepreneurship in its location, for example, tutoring, or assistance provided to small businesses for their contribution to social responsibility and reporting. They also support small businesses with venture capital, facilitating their expansion.

â€¢ Human rights:

As for human rights companies ensure that their trading partners are respecting the values they considered essential and what is the approach to be taken and how to work in countries where there are frequent violations of human rights.

Although companies establish codes of conduct for the respect of human rights, labor conditions and environmental factors must be taken into account that they are no substitute for national and international laws, nor the provincial and municipal.

â€¢ Global environmental problems:

Because environmental problems have reached beyond the boundaries and that companies are directly related to and with the consumption of resources in the world, it is important to begin a drive to reduce the environmental impact of its activities throughout production chain.

The stakeholder's perspective.

In much of the twentieth century, proper responsibility for the wider impacts of business, has been social. Recently, it was recognized that the concept of stakeholders has a central role.

In this perspective, each organization will have different stakeholders: for companies, their stakeholders they typically include consumers, suppliers, shareholders and staff from a wide range of other, for governments, organizations can include employers, unions and NGOs.

As you increase the influence of key stakeholders-oriented companies will be the adoption of corporate responsibility deeper and more solid.

The detailed discussion of these issues highlighted the following aspects:

â€¢ The leadership role in promoting a set of core values in business.

â€¢ The need to ensure that Corporate Social Responsibility is an integral part of the overall business

â€¢ To consider CSR as essential philosophy

â€¢ The importance of "follow the process properly," that is, through transparency and consultations.

An analysis of stakeholders, recognize that shareholders are always among the most important stakeholders of corporations. In recent years, however, its role has been changing in two ways:

â€¢ First, for most shareholders, the importance of organizational governance has become an increasingly pressing issue, and

â€¢ second, the volume of socially responsible investment (SRI), which can be defined as investment for social goals and financial, has grown rapidly in recent years.

TESCO's CSR Approach

Once a year, the board of directors of Tesco Plc consider the company's strategy of corporate social responsibility and the review of the overall performance on this subject is discussed after every three months. Members of the board and the executives of the company receive review on corporate social responsibility performance, due to which the company can assess future opportunities and risks.

In 2001 the company established the Corporate Responsibility committee which encompasses of cross functional executive. These executives meet several times in a year to discuss the matter of corporate social responsibility of the company. The first corporate social responsibility report was published in 2001 by the Corporate Responsibility committee. The committee used Steering Wheel framework of Tesco evaluate its accomplishment of Corporate Social Responsibility performance. Corporate Social Responsibility is a crucial part of the Tesco's steering wheel framework so as to to guarantee that CSR is a crucial part of the everyday performance of the company.

Environmental Responsibility

Tesco has always realised that strategies that may pose harm to the environment should not be a part of the company. These sort of strategies would have a negative impact on the company's image and may result in damaging the brand name, the clients and the environment as a whole. Conserving the environment is an important part of Tesco's corporate strategy as it is believed to be associated with the company's economic goal.

Nevertheless, Tesco has made sure to commit itself to maintain an environment which is healthy for everyone. Tesco has made all workers to play an dynamic part in its initiatives towards healthy environmental.

Energy, Water and Fuel

In 1996, Tesco initiated a campaign where it provides awareness towards energy consumption. The employees were expected to play a dynamic role in it. Managers in all Tesco depots, stores and offices supervised energy consumption and put an effort in reducing waste. During 1997 and 2005, Tesco's energy consumption reduced 35% per square foot. Tesco is planning to further reduce it by 5% by the year 2006.

Societal Responsibility

As Tesco is large in size and it has huge scale of operations, it was able to impact the society on a large scale in numerous ways, through encouragement of its staff and consumers in order to achieve social responsibility. Tesco implemented numerous programmes to achieve social responsibility. These responsibilities include fund raising, charity for a foundation and to promote education. Tesco believed that it had a key part to play in order to promote healthy food for its consumers and struggled to make sure that healthy food is accessible at reasonable charges. These inititives were not only for the UK but were made available for other countries where Tesco was originated.

Communities

Tesco donated one percent of its before tax profit to charity, in the form of gifts and donations. In the year 2004 and 2005, the company's total donations as charity were around 21,762,931 pound. The company's charitable trust granted donations of 878,556 pounds to local and national charitable organisations in Britain.

Economic Responsibility

Tesco has taken great initiatives to achieve the economic growth and development in all the localities around the world. Tesco has played a dynamic role in reducing unemployment, supply of products at reasonable prices and giving opportunities to the community to grow and expand.

Regeneration

Tesco deliberately moved into areas with high unemployment and low development to trigger growth, and to make the areas commercially attractive.

In 6 years duration, Tesco has helped in providing employment to around 2,000 jobless and deprived individuals, with the help of its employment assurance system. Tesco decided to train and employ individuals who were single parents and elders.

As Corporate Social Responsibility (CSR) has played an increasingly prominent role in the corporate world has also begun to respond to Tesco to be seen as ethically and environmentally sound in their customers' eyes. The campaigns and objectives in terms of CSR as the company uses vary from country to country. In England dominates the idea of organic products, environmental, etc. while in Thailand focuses on supporting people by offering lower prices for goods, services, and make donations to the development of society .

Tesco and the environment

Tesco insists that the company acts in many different ways to satisfy themselves that appear to be CSR-friendly. In particular, focuses on environmental and Tesco insists that it wants a leading role in this area. Carbon foot printing It seeks to achieve by using the so-called carbon foot printing , ie. to label all 70 000 products with the carbon they individually created. Further highlights Tesco goal that all new buildings carbon emissions by 2020 will be 50% smaller than currently existing buildings and the existing buildings although they will reduce 50% of carbon emissions (compared to carbon measurements from 2006) . The Energy Saving Trust In addition, Tesco is also working with The Energy Saving Trust to offer energy-efficient products. The company was also the first retail chain in the UK in 1992 to launch an independent label that ensures that fruit and vegetables are grown in an environmentally sound manner .

Tesco and ethical trade

Tesco presents itself also as a respectful company towards its suppliers. According to the company's own survey says 91% by 2300 from its suppliers that they are treated with respect and 92% think that Tesco gives clear answers in the various negotiations . The Etichal Trading Initiative Tesco is also one of the original members of The Etichal Trading Initiative , which gives Tesco specific ethical goals as the company works to meet for their employees worldwide. Tesco is working to support local conditions and says that 53% of 920 customers surveyed often hear that Tesco will contribute locally to charity, etc.

Concern has been raised for several retail chains, including Tesco, regarding their desire to appear environmentally friendly and ethically correct. Many believe this is a "fashion thing" and working "green" is the "new black". The financial crisis is affecting the course, both businesses and consumers and place focus on the price to a large extent. Sir Terry Leahy , CEO of Tesco, told suppliers that because of the financial crisis, the company will be forced to reduce prices and thus might "tamper bit "on the ethical and environmental guidelines. The fact that Tesco is such a large company, it is possible to put this kind of pressure on suppliers, because they cannot afford to get rid of such an important customer.

For Tesco to conceive a good connection with the community, localized tasks and benevolent humanity sponsorship are significant to consider. When managing this they furthermore conceive a good connection with the community through newspapers, which is a part of public relation. Tesco has an own crusade called Computers for Schools where they supply localized schools with computers and accessories, for example software.

In 1999 Tesco assembled £1.1 million for the benevolent humanity of the year, which was NCH Action for Children. In 2000 Macmillan Cancer Relief was the benevolent humanity of the year. Every year they furthermore assign cash to every shop that can select a localized task they desire to support.

The scale and nature of the benefits it can provide the implementation of social responsibility in a company is on the nature of it and it is difficult to quantify. Some authors found that there is a direct relationship between social performance / environmental and financial. However, those companies using CSR not looking for a financial return in the short term. Although the definition used to explain the impact on shareholders generally refers to joint efforts and voluntary CSR management can be operated from internal departments to the company as human resources, business development and institutional relations, or may be part of an independent unit that reports to the director or in some cases to the board of directors. Although some companies implement measures with similar values without necessarily define a team or a strategic program.

Although the area of CSR is particular about the rest because it is a broader effort to come to encompass many facets to improve business performance. That is why the MIF intends to deal in a more systematic regional demand for technical assistance and training for adaptation and implementation of the Competitiveness through Corporate Social Responsibility (CSR). The objective of this cluster is to promote and facilitate the use of CSR as a tool by businesses across the region. From the perspective of economic development this is one of the ways which has been more effective private sector development, so that a large part of this group of projects aims to help smaller companies improve their competitiveness.

Companies have begun to adopt CSR not only as a result of pressure from consumers, providers, community organizations, activists, investors, etc. (Also collectively called stakeholders), the RSC is also an additional strategic activity in commercial competition.

The company plays an important role in the lives of people not only as a generator of employment and wealth , but as agents of development in the communities in which they are found. Large companies are aware of this and take advantage of the expectations generated by the CSR for competitive advantage. Corporate philanthropy is no longer an independent business entrusted to a foundation and increasingly forms part of the strategies that contribute to making the objects of the company.

Recommendations

The modern enterprise in a globalised world recognises that it has responsibilities that go beyond simply complying with the law, maximise returns to shareholders etc. The company's goal is to increase shareholder value, but today it is not realistic to think of value creation in the long run without promoting an active relationship with the public interest, a process that creates a dynamic context of interaction, mutual respect, dialogue and change.

Today's society requires companies, like Tesco, to recognise that the impact of all the their operations on all the environments, including human environment, in which they operate, and it is in the management of those impacts where a company's social responsibility lies. It is in the best interest of the company to be aware of the consequences of their operations to reduce costs and manage risks. Healthy natural resources and environments that have the capacity for renewal are the foundation that ensures the continuity of production and success of modern business. Therefore, it is recommended for Tesco to continue its strategy of corporate social responsibility for the betterment of the society and environment.

Our Service Portfolio

Essay Writing Service
Dissertation Writing Service
Assignment Writing Service
Coursework Writting Service
Article Writting Service

Want To Place An Order Quickly?

Then shoot us a message on Whatsapp, WeChat or Gmail. We are available 24/7 to assist you.

Do not panic, you are at the right place

Visit Our essay writting help page to get all the details and guidence on availing our assiatance service.

Get 20% Discount, Now £19 £14 / Per Page 14 days delivery time

Our writting assistance service is undoubtedly one of the most affordable writting assistance services and we have highly qualified professionls to help you with your work. So what are you waiting for, click below to order now.

Get An Instant Quote

I DON'T WANT DISCOUNT

Our experts are ready to assist you, call us to get a free quote or order now to get succeed in your academics writing.

IMAGES

⇉Tesco's Corporate Social Responsibility Initiatives Essay Example
Global Corporate Social Responsibility of Tesco (Grocery Retailer, UK
Socially Responsible: Social Responsibility Is An
Corporate social responsibility of Tesco
Q5 Tescos Corporate Social Responsibility Initiatives
Corporate Social Responsibility: A Case Study of Tesco

VIDEO

IS JESUS LORD OVER YOU? #jesus #lord #shorts #christianity #faith #love #endtimes #rapture
Corporate Governance Spotlight of Tesco
Road Safety My Responsibility Essay writing in English, Paragraph or short note

COMMENTS

Tesco's Corporate Social Responsibility (CSR)
The committee used Steering Wheel framework of Tesco evaluate its accomplishment of Corporate Social Responsibility performance. Corporate Social Responsibility is a crucial part of the Tesco's steering wheel framework so as to to guarantee that CSR is a crucial part of the everyday performance of the company.
PDF Corporate Social Responsibility Review 02/03
[email protected], or write to the Corporate Social Responsibility Department, Tesco, Te sco House, PO Box 44, Delamare Road, Cheshunt, Herts, EN8 9SL. Any other comments should be addressed to Te sco Customer Services, Freepost, SCO 2298, Baird Avenue, Dundee, DD1 1YP or contact 0800 505 5555. CSR highlights 2002/03 Economic:
PDF An update on our Corporate Responsibility commitments
It is unquestionable in my mind that Tesco has a responsibility to try to make a positive difference, taking small steps to help make sure future generations have the same, if not better, opportunities than we do today. A key part of that is about doing our part to look after our global resources, promote human rights, and address
Corporate Social Responsibility at the Tesco PLC Report
1. Introduction Tesco PLC has a significant impact on the business world and the lives of many people. It is a leading food retailer in the United Kingdom. The company has a long-standing history of corporate social responsibility and it aims to be a sustainable, innovative, customer-focused company that is recognized and rewarded for doing the right thing. With over 3,400 stores and 300,000 ...
Sustainability
We play a vital role in local communities, through the people we employ, businesses we work with, and the causes we support. Since 2015 we've supported tens of thousands of community projects with more than £100m in grants. Through our partnerships with food banks we've donated over 52 million meals in unsold food from our stores.
PDF Corporate Responsibility Review
Corporate Responsibility is integrated into Tesco's corporate governance structure and, principally through its management 'Steering Wheel', into the day-to-day running of the business. Contents 36 KeyPerformance Indicators Introduction Economic Social Environment Listening Managing CR through the business 7626_Astound 12/6/04 12:14 pm Page 4
PDF Corporate Social Responsibility
The Corporate Social Responsibility Review 2001/02, outlines the key achievements of the UK business in the financial year ending 23 February 2002. It has been produced to give further detail than that already contained in the Annual Report 2001/02. For the full set of financial results please see our Annual Report 2001/02.
Tesco Corporate Social Responsibility Essay
Tesco Corporate Social Responsibility Essay. 1. Introduction : Sustainable management is the ability to successfully management of the quality life in our planet. It is applicable to all aspects of our lives. The practices of a business are also sustainable managed.
Corporate Social Responsibility at the Tesco PLC Report
Tesco PLC and CSR. Tesco PLC is a leading UK based association which specialises in the food retailing business sector. The company has won rising wide-reaching acknowledgement as one of the most flourishing and highest budding traders in the century (Tesco, 2005). Alongside the recognition, the organization's corporate social responsibility ...
Essay: How important is Corporate Social Responsibility for Tesco?
Literature review. The beginning of Corporate Social Responsibility (CSR), firms think that being ethical means only building houses for their employees and schools for their children (Farmer and Hogue 1985). Since, the middle 90s, corporate social responsibilities get more interests and companies have gained more strength.
Tesco History Corporate strategies, corporate social responsibilities
Reading time 7 min: Type Descriptive Essay Pages 7 Words 1952 Subjects Business Business Ethics Topics Tesco Social Responsibility Language
Tesco Corporate Social Responsibility
The stakeholder engagement for sustainable business development is a key part of Tesco 2023 CSR strategy. 3.2. Corporate social responsibility policy Tesco. Tesco CSR policy is- " To maximize the benefits that Tesco brings to all stakeholders, and minimize any negative impact". Tesco CSR policy focuses on three areas:
Sustainability Reports
To progress against our purpose, and continue to deliver strong performance, clear data on material topics is fundamental. We report on a range of measures in our annual report and support this with thematic factsheets on key areas of our sustainability agenda. Quick Links. Download the Annual Report 2023. Our sustainability reporting approach.
PDF Tesco PLC
Tesco PLC
Corporate Social Responsibility (CSR) at Tesco
CSR (Corporate Social Responsibility) is considered as a new exhortation; however it is not a concept that is new for the organizations like Tesco. Provided that the business exists, there are some expectations on the responsibilities in the organization. The notion of Corporate Social Responsibility has been recognized in the mid 1920s and it ...
Tesco Corporate Social Responsibility Essay
Tesco Corporate Social Responsibility Essay. "We couldn 't be more proud to share with you that we have one of the most sophisticated retail supply chains on the planet.". - Tesco (Malaysia). With an oligopoly market structure in hypermarket retailing industry, Tesco (M) is currently facing a supply chain management crisis, which could ...
Tesco's Corporate Social Responsibility Initiatives
The proper use of funds allocated for corporate social responsibility (CSR) initiatives is vital for companies. Tesco, the UK's top retailer, serves as a commendable example in this aspect. The trust in major corporations has been diminished following scandals at Enron, WorldCom, and similar cases, resulting in stricter government regulations.
Corporate Social Responsibility in Tesco
Comparative Analysis on Social and Community Responsibility of Two Companies: John Lewis Partnership and Tesco PLC Name University Professor Course Date Comparative Analysis on Social and Community Responsibility of Two Companies: John Lewis Partnership and Tesco Plc The corporate social responsibility or CSR is an important aspect of a company's management, operation and structure because it ...
Corporate Social Responsibility of Tesco
At EssayPandas, we help MBA and EMBA students finish their corporate-level case study projects.For example, Corporate Social Responsibility or CSR Analysis of Tesco mainly relates to the subject of Business, further touching upon sub-topics like organizational development, value proposition, corporate governance, economic development, ethics, leadership, and social responsibility.
Tesco's Corporate Social Responsibility (CSR)
Tesco's Corporate Social Responsibility (CSR) Print Published Date: 23 Mar 2015 Last Modified: 04 Jan 2018 Disclaimer: This essay has been written and submitted by students and is not an example of our work. Please click this link to view samples of our professional work witten by our professional essay writers. Any opinions, findings ...

Essay: How important is Corporate Social Responsibility for Tesco?

Text preview of this essay:

How important is Corporate Social Responsibility for Tesco?

Literature review

Methodology

Bibliography

Discover more:

Recommended for you

About this essay:

Essay Categories:

Tesco History Corporate Strategies, Corporate Social Responsibilities and Advertising Descriptive Essay

Tesco-Corporate Strategy

Express (up to 3,000 sq ft)

Metro (approx. 7,000-15,000 sq ft)

Superstore (approx. 20,000-50,000 sq ft)

Extra (approx. 60,000 sq ft and above)

Tesco Social Responsibilities

Advertisements

Reference List

Tesco Corporate Social Responsibility - Case Analysis 2023

1. Introduction

2. Corporate Social Responsibility

3. Corporate Social Responsibility of Tesco

3.2. Corporate social responsibility policy Tesco

3.3. Tesco Corporate social responsibility reporting

3.4. Corporate social responsibility objectives Tesco

3.4.2. Sustainable food production

3.4.3. Waste reduction

3.4.4. Shift to electric transport

3.5. Stakeholder approach to CSR

3.6. The Carroll Theory and Tesco corporate social responsibility

3.6.1. Tesco Economic responsibilities

3.6.2. Tesco Legal responsibilities

3.6.3. Tesco Ethical responsibilities

3.6.4. Tesco Philanthropic responsibilities

3.6.5. Corporate social responsibility Tesco- Carroll Pyramid

4. Recommendations

5. Conclusion

6. References

Recent Analysis

The Power of Index Investing and Passive Strategies in Global Markets

From Doodles To Desk: A Look At Special Pencil Cases For Young Artists

Why You Should Call a Top Personal Injury Lawyer After a Truck Accident: Defending Your Lunch Money Against Big Rigs

Tesco PESTLE Analysis - PESTEL Analysis by Field Experts

Analysis Category

Top Companies

Sample details

Corporate Social Responsibility

Tesco’s Corporate Social Responsibility Initiatives

Cite this page

Check more samples on your topics

Tescos Pest Analysis

Evaluating Tescos Methods of success in the Retail Supermarket Industry

Corporate Governance and Social Responsibility at Coco Cola

Corporate Social Responsibility at Dhl

Critical Reflection On Corporate Social Responsibility Projects Accounting

Corporate Social Responsibility In Mauritius Accounting

Corporate social responsibility of ITC Limited

Corporate Social Responsibility in Tesco - Essay Example

Extract of sample "Corporate Social Responsibility in Tesco"

CHECK THESE SAMPLES OF Corporate Social Responsibility in Tesco

Get 10% Off on Your Next Order

Enter Your Verification Code

Total Price

Corporate Social Responsibility of Tesco

1. What is Cooperative Social Responsibility

2. Model application on Tesco

2.2 Dimensions of corporate social responsibility

2.2.1.2 How Tesco fulfils its economic responsibility?

2.2.1.3 Relevant stakeholders

2.2.2 Legal responsibility

2.2.2.2 How Tesco fulfils its legal responsibility?

2.2.2.3 Relevant stakeholders

2.2.3 Ethical responsibility

2.2.3.2 How Tesco fulfils its ethical responsibility?

2.2.3.3 Relevant stakeholders

2.2.4 Philanthropic responsibility

2.2.4.2 How Tesco fulfils its philanthropic responsibility?

2.2.4.3 Relevant stakeholders

2.3 Critical success factors of Tesco’s corporate social responsibility