During this annual period of generosity and thanksgiving, we invite you to take a step back and reflect on the importance of giving back to the community. While some board members, corporate officers, and stockholders may frown upon the thought of removing money from the bottom line, corporate philanthropy, when done right, can actually be valuable as a long-term investment for the company. Grand Energy

1. GIVING BACK
The Importance of Corporate Philanthropy
During this annual period of generosity and thanksgiving, we invite you to take a step back and
reflect on the importance of giving back to the community. While some board members, corporate
officers, and stockholders may frown upon the thought of removing money from the bottom line,
corporate philanthropy, when done right, can actually be valuable as a long-term investment for the
company. Note that in most industries, brand image and good will are just as important as product
quality and customer service. To help you justify the expense to top-level management and
corporate investors, we’ve compiled a list of benefits that you should consider while developing
your philanthropy program.
Strengthens the Company Image
Recent studies have shown that customers tend to patronize companies, who support the same
charities and issues that they do, over competitors in the same industry. In a 2013 study conducted
by Cone Communications, the researchers found that 27% of the participants believe that consumer
purchases have a significant impact on company-supported charities and issues. Moreover, 87% of
the participants take corporate philanthropy into consideration when deciding where to shop, and
85% consider the same when deciding which products to recommend. Hence, corporate
philanthropy can actually be made part of your general marketing strategy. It is of primary
importance however that the efforts be actually directed to benefit the community, and not simply
to improve brand image and good will. If customers adopt the latter view, your philanthropy may
be considered as self-serving and result in negative impressions instead.
Reinforces Employee Morale and Boosts Recruitment
According to a study conducted by the Denver Post, over 70% of employees expressed their
preference to work for companies engaged in regular philanthropic work. In another study, it was
shown that millennial employees are more motivated when working for companies that share their

2. personal values and beliefs. Moreover, the activity will give your employees a chance to get to know
each other beyond their usual work hours. Simply put, working for a worthy cause can easily
strengthen the bonds between employers and employees. These bonds can then encourage a
mutually healthy and supportive working environment.
Fosters Strong Relationships with Community Leaders and Government Officials
Showing you care for the community will not only improve your standing with the community
itself, but also with its leaders. These relationships will later become especially helpful in dealing
with regulatory and legal issues. Moreover, a positive review from the right officials can also
encourage the support of their respective communities as well. The review will lend an air of
credibility and trustworthiness to your company, and may even score you some government-
funded projects, depending on the nature of your products and services.
Improves Local Quality of Life
By involving yourself with the problems of the local community, your company can directly
improve the quality of life of your potential customers and workforce. This translates to an increase
in purchase power and an improvement of the local economy, both of which will undoubtedly be
beneficial to your company’s future success.
References:
 http://smallbusiness.chron.com/importance-corporate-philanthropy-33810.html
 http://www.frontstream.com/corporate-philanthropy-and-the-importance-of-giving-back/
 http://www.integritysolutions.com/news/give-back-corporate-philanthropy-5-reasons-
important
 http://yourbusiness.azcentral.com/importance-corporate-philanthropy-4045.html