2. Company are being more accountable and
responsible for their actions and thus has led
to the development of social cooperate
responsibility
3. Hypothesis
Ho:
there is no significant
relationship between
cooperate social
responsibility and
organization profit
maximization motto.
H1:
there is a significant
relationship between
cooperate social
responsibility and
organization profit
maximization motto.
4. in
light of our literature review and
discovering the loophole
voluntary action to reduce pollution
improve working condition for employee
higher profile of CSR activity
higher
good will
an indirect effort to obtain additional
benefits.
5. “…
Theory suggests that firms that need to
resolve information asymmetry for their
customers may rely CSR activity to do so.
For example, firms selling difficult- to –
evaluate goods may use CSR activity to
signal product quality” (Fred Tung,
(august 4, 2006) profit maximizing-CSR)
6.
When company voluntarily engaged in CSR
activity they are actually advertising their
behavior, distinguishing their product, increasing
market share and profit as well.
By all mean a company would only indulged in
advertisement when it promises company
additional revenue otherwise the company would
just be throwing away its money.
The CSR is thus the substitute for traditional
advertisement.
whenever customer preference changes
Company changes their behavior.
