Consumer Behaviour: The Issue of Illegal downloading

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The central theme of this literature review is to critically analyse consumer behaviour theory and clearly justify the reason for dubious, criminal, deceptive or fraudulent behaviour of individuals aged under 30. The literature review also centers on critical thinking using industry examples and provides other supporting evidence based on different authors viewpoints. In this paper, the comprehensive discussion focuses on illegal downloads issue and demonstrates the application of theory to the chosen topic area.

Illegal downloading issue and statistics

There always has been a lot of discussions amongst different writers, authors and journalists about illegal downloading, also known as copyright theft or piracy of video, audio, games and other electronic products. The report, supported by the Intellectual Property Office, found out that almost one in six (18%) of internet users aged 12 or over accessed digital entertainment media using an illegal service. (The Guardian, 2013) The popular perception of those hurt by piracy is large companies and pop stars whose personal wealth is legendary, firstly noticed by Gursey (1995). In 2013, Philip Pullman stated that illegal downloading is ‘moral squalor’ and theft, similarly as reaching in to someone’s pocket and stealing the wallet. He also claimed that authors and musicians with a low budget still put a lot of effort and time doing their job in order to financially support themselves and, meanwhile, satisfy their audience. This argument was earlier supported by Rob and Waldfogel (2004) who found out that each downloaded album reduces purchases by approximately 20 per cent but raises individual consumer welfare. In contrast, Gurnsey (1995) stated that ‘piracy is not the only form of copyright theft’. (p.1) He suggested that while piracy represents the systematic and large scale abuse of copyright, at another level there is the casual everyday abuse of copyright which occurs in millions of homes, schools or universities and business enterprises across every country in the world. The Economic Times defined piracy as the unauthorized duplication of copyrighted content that is sold at significantly lower prices in the ‘grey’ market. Thus, for too many, both politicians and consumers, audio piracy is still perceived as a largely victimless crime. The Copyright, Designs and Patents Act 1988, amended by the Copyright and Trade Marks (Offences and Enforcement) Act 2002, currently protects copyrighted materials. People who distribute and download copyrighted recordings without permission face civil actions for potentially thousands of pounds of damages. (The Independent, 2009) Yet it 1995, Gursey claimed that ‘the sad fact is that the market for piracy is largely based on greed’, and if people accept this situation as inevitable part of human life, there always would be a low-cost market with illegal materials like audio, software, video in the next ten years. In fact, software firms frequently spend thousands or even millions of dollars in creating the programs, however many people illegally download it from unauthorised sources what has become a key issue for the computer industry. Evidence for in support of this assumption was found by five firms: Atari, Reality Rump, Top Ware Interactive, Techland and Codemaster in 2008. These computer game companies have suspected thousands of internet users who shared illegal downloads and sent warning notices to pay £300 fine in order to avoid the court. According to Daily Mail, a number of people had to pay approximately £16,000 after being taken to court by TopWare computer game manufacturer. (Revoir, 2008) Another unpleasant example, published by The Guardian in 2012, illustrates woman who was accused by Recording Industry Association of America (RIAA) for downloading and distribution of 1,700 music files and she had to pay $9,250 for each illegal downloaded material. Today, due to the technical change and innovation in hardware and broadcasting, there is a continuous battle as rights owners seek to control and remuneration for the use of their work. Piracy, or illegal downloading, still remains a significant issue in every industry. (Lee, 2012)

 

Fraudulent behaviour of individuals aged under 30

In 2008, more than 40 billion music files were illegally downloaded although state, federal and international laws restricting these actions (IFPI, 2009). According to WARC research (2014), almost 50 per cent of children between 8 to 15 years old admitted that they were able to download or access any content for free from the internet. This age group also showed an above-average propensity to agree that using file-sharing websites was easy (6%) and a usual thing to do (7%). It has also been mentioned, that a similar amount of people 16 to 24 years old stated that online content should be free and the report noted that ad-supported services, such as Spotify, YouTube and Blink box, tended to be the most popular with this age group. A number of authors (Summers, Schwarzenegger, Ege and Young, 2014) noticed that particularly in the music and TV industries, user behaviour has been influenced by the opportunity to download material for free. However, Ulsperger, Hodges and Paul (2010) claimed that college students in the U.S. tended to be more critical and serious about CDs shoplifting from the store comparing with illegal music downloading online. In turn, Levin et al. (2004) further identified that college students who illegally downloaded music and other files for free had lower ethics ratings than students who had never downloaded illegally. According to James McCoy, YouGov Research Director, children and teenagers in this generation grew up with digital material and now have an access to what they want, when they want it and sometimes not paying for it. (WARC, 2014) Similarly, Plowman and Goode (2009) agreed that concerns about price factor were one the strongest predictors of future desire to illegally download music, even amongst students and pupils who had never done this earlier. Consequently, all these research showed that students with more favourable attitudes and higher perceived behavioural control were more likely to download illegally than those who had less favourable attitudes and lower perceived control. Additionally, Cronan and Al-Rafee believed that moral obligations influenced digital piracy intentions.
Ethics, or moral philosophy, has been defined as a system of what is good and what is bad, however, people might still continue to engage in dishonest, criminal or dubious behaviour when trying to make a decision between right and wrong. People engage in an action that is admitted unethical or harmful and usually do not believe that what they are doing is right because “everybody does it”. (Ethics Alarms, 2015) From a psychological perspective, the more people are involved in illegal downloading or any other issue, the sense of responsibility and fear decreases noticeably. According to the authors’ viewpoints above, people between 16 to 24 years old believe that those companies or websites which provide illegal content should be severely punished rather than those who access the content. Such thoughts make people not feeling guilty or bad when downloading free music, movies or software from the internet as they believe they do not break the law and do not go against social and personal moral values. Solomon, et al. (2013) propose that ‘humans are social animals’ and look at others’ behaviour for signs about what to do in publics. They also suggested that people desire to ‘fit in’ or to identity with desirable individuals or groups is the primary motivation for many of consumption behaviour. Sometimes, however, many reference groups are involved in negative influence on consumption behaviours, e.g. illegal downloading.
Interestingly, educational levels also play a massive role in the likelihood that somebody pirates content. According to The Telegraph survey, it has been revealed that 3% of pupils who left school at the age of 15 had illegally downloaded material in the previous 12 months, rising to 6% of those who studied to between 16 and 19 years old, 10% of students who continued their education until they were around 20 years, and 27% of those students who were still studying beyond that age. (Sparkes, 2013) This has been more discussed by Solomon et al. (2013): people learn that every actions they take, result in rewards and punishments, and this response influences the way they respond in analogous situations in the future. Similarly, Blythe (2013) agrees and continues that illegal downloading shows how punishment fits into the learning process. So, the idea of sending a warning letter to internet users who illegally download or distribute materials, is based around operant conditioning (concept of reinforcement). Moreover, the ABC model of attitudes and hierarchies of effects best describes different behaviour and intentions to do something towards the particular product or service. The low-involvement hierarchy (Do, Feel, Think), properly illustrates a typical consumer who download stuff illegally but do put too much effort into evaluation of his/her decisions and potential issues it may cause. (Solomon, et al., 2013) Consumers does not have a strong preference for the brand over another, but instead acts on the basis of limited knowledge and then forms an evaluation only after the audio or video has been illegally used. Internet let individuals stay anonymous users, what makes it harder to detect the deviant behaviour. There is no face to face contact so internet users do not feel guilty for downloading illegal material and they are more likely to stay unpunished. In 1999, Albers-Miller highlighted the point that ‘when there is a lack of fear of punishment, people do engage in inappropriate behaviour.’ (Inderbitzin, Bates, Gainey, 2012) It is further discussed, that consumers are naturally want to minimise risk (Blythe, 2013), however, the perception of risk can be “traumatic” (Chaudhuri,2006) For example, in 2014, Mirror newspaper released an article about two teenagers Robinson and Graham who ran a website that allowed users to download music tracks for free before the official release. Despite the fact that website creators have tried to hide their identity online, the British Phonographic Industry (BPI), police and Homeland security have found and taken them to court. Both teenagers were jailed from one to two years. (Kennedy, 2014) It may also be a case that people perceive risk differently (Blythe, 2013), based on their age, confidence and other factors. A number of authors (Byongook, McCluskey, McCluskey, Perez) proposed that youths with low self-control are more likely to engage in the illegal downloading in any form. According to a general theory of crime, generation Y spends more time using computers what creates strong addiction and may cause criminal behaviour. (Gottfredson and Hirschi, 1990)
The above mentioned examples illustrate Freudian theory, where person’s selfish and illogical id is entirely oriented towards immediate satisfaction. It operates according to the pleasure principle that behaviour is led by the primary desire to maximise pleasure and avoid pain (Solomon, et al., 2013), what mostly describes people behaviour under age of 30 who illegally download internet content without thinking of potential negative consequences.
Worldwide solutions to an issue over time and parental influence

In 2011, audio, movie and other software companies started to work on a detailed proposal for a voluntary system whereby broadband providers (such as BT, TalkTalk, Virgin Media) block hundreds of websites promoting online piracy (Bradshaw, 2011) as the UK’s creative industries contribute £71bn to the UK economy and support about 1.68 million jobs. (BBC, 2014) According to Gibbs (2014), the launch of Vcap (the voluntary copyright alert programme) in 2015 will help to identify the IP addresses of users who download illegal material for free. Further actions involve sending a warning letter about the suspected infringement to the registered subscriber of particular broadband connection. Similarly, the identical scheme has been already developed in the United Stated. Hill (2013) claims that Mark Monitor, the United States anti-piracy group with 100 employees, automatically catch the IP addresses of those who use AT&T, Cablevision, Verizon and other internet providers. Another earlier example by Gurnsey (1995) claims that Russia has been made a significant progress in curbing piracy. Russia had introduced laws which included the hardest penalties seen anywhere in the world for large copyright theft: to close servers located in their territory and websites that promote illegal distribution. (Kim, 2012) Each of these industry examples and solutions make an important contribution to the understanding of the role of learning and memory. Some authors (Solomon, Bamossy, Askegaard, Hogg) claim that memory involves a process of gaining information and keeping it for a long period of time so that it will be available when required. So, once an internet user faced with a problem of illegal downloading and received a large sum of money to be paid for this act, he is more likely to remember this unpleasant experience and tend not to repeat such situations in the future. It is a very useful method of educating people not to infringe copyright.
A British study suggests that there are four main types of “pirates”, the serious ones actively and very often seeking out occasions to pirate (‘Devils’), the opportunistic ones that will rarely take a chance on pirating but not very often (‘Chancers’), pirates who are not actively pirating but accept receiving pirated material (‘Receivers’), and the ‘Angels’ who ignore any sort of pirating. (Cockrill and Goode, 2012) According to these classifications, different penalties in various forms reach internet users worldwide. A number of authors claim that parents play a huge role in the education process and are the key source of their children behaviour. 85 per cent of children in Australia have admitted that they never had a conversation with their parents about this issue. (source: news.com.au) The same viewpoint has been investigated by Solomon et.al. (2013) that children learn by watching their parents’ behaviour and imitating it. At a very early stage children see how their relatives obtain the things they need, so parents who pirate content are more likely to have children who do the same. In turn, Humphries (2011) provides an example of a 15 year old boy who faced up to two years in prison for downloading 24 films from BitTorrent at school. As long as parents and teachers are not clear about what is moral behaviour in the internet sphere and are not enough active in their children’s life, it will be quite difficult for adults to convey normative behaviour to children and teenagers.
According to the U.S. Guardian newspaper, piracy is most acute on college and university campuses where students have high speed internet as well as have more free time than money. Only a couple of universities have responded to the complaints of illegal downloading, while most of them stayed neutral to this issue as they believe that piracy issue must be dealt by police. (MacAskill and Conor, 2007)
Individual factors

Blythe (2013) claims that one of the problems with understanding consumer motivation is that people are usually unable to be specific what has driven them to a particular action. Solomon et al. (2013) add that personal and cultural factors combine to create a want which can be satisfied in any number of ways. According to the online survey by Australian news (2010), it has been revealed that convenience was as much of a motivating factor as money for people who illegally downloaded or streamed media. Later, a similar view has been published in WARC article (2014) which claimed that price is still the major motivator in the decision to use file sharing sites. Moreover, 50 per cent of adults and 50 per cent children who download free content from internet admitted that the main reason for such behaviour are cost saving factor, convenience and easy accessibility. Blythe (2013) further believes that sometimes people make wrong decisions, and rationalise their real motives afterwards rather than admit their mistake. Equally, people who are motivated by illegal and immoral needs, are extremely likely to keep it only to themselves. Gottfredson and Hirschi concludes that low self-control is the cause of crime and criminal activities and that an individual with low self-control is less likely to resist the easy, immediate gratification that crime and deviant behaviours provide.

 

Conclusion

In conclusion, more than 20 years ago illegal downloading, or piracy, has become a starting point to a massive issue by 2015. It has become one of the major threat to the music, movie and software industry. Many authors agreed that illegal downloads of audio, video or software material and peer-to-peer (P2P) content sharing problem are more likely to happen with people under 30. Children and teenagers usually have no clue about what is personal moral values, risk and do not think of potential negative consequences in the future. The above studies also discussed the point that educational level and parents’ behaviour has a significant impact on how likely the individual will be involved in criminal, dubious, deceptive and fraudulent act. A number of different industry examples prove the fact that copyright theft, or illegal downloading, can lead to severe punishments such as prison sentence or monetary fine, depending on how serious the problem is and the type of piracy. A lot of literature concludes that illegal downloading and distribution of pirated materials in any form still remains one the most significant issues due to its complexity in technological sense and consumer individual behaviour.

Premier Gold Resources Plc or Prospex Oil and Gas Plc.

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Premier is a gold exploration and development company admitted to trading on AIM. The company owns 100% of the share capital of CAR (Central Asia Resources Ltd), a company which, in turn, hold 80% of the shares of Premier Asia (together, the ‘Group’). The Group focuses on gold opportunities in Central Asia, in particular the Kyrgyz Republic.
The company is not yet producting minerals and so has no income other than a small amount of bank interest. The company has been predominantly dependant on cash advances from Tridevi drawn down under the Convertible Loan Agreement, and as announced on 26 September 2014, in order to preserve the capital available, the Company has suspended all directors’ salaries. The company’s current working capital position is therefore extremely constrained.
The company through its 80% indirect investment in Premier Asia holds an interest in the Licence. Four gold prospects have been identified in the Licence area which is in Northern Tien Shan (about 80 km southwest of the capital, Bishkek). These prospects are early stage and current losses attributable to the asset as of the audited accounts of Premier Asia dated 31 December 2013 are Kyrgyz SOM 21,131,303. Significant additional  legal, political and social work needs to be carried out in the UK and in the Kyrgyz Republic for the Company to gain safe access to the Licence. There can be no guarantee at this point that safe access will ever be achieved.

The local staff and contractors of Premier Gold Resources have been subjected to both physical and verbal threats from section of the local community opposed to drilling on targets identified by Premier’s exploration programme on the Cholokkaindy licence area in Kyrgyzstan. These actions have prevented the Company from accessing the site over the last 30 months and from progressing the project further.
Premier has been trying unsuccessfully during this period to reach an agreement to facilitate safe access to the licence area. This has included repeated meetings with a wide range of stakeholders, including the Kyrgyz Government, regional and local administrations and residents of villages in the vicinity of the Cholokkaindy licence area. To date, this has not been successful in re-establishing access to the project area.
Further engagement with all stakeholders is required to attempt to move towards a solution but there remains no guarantee that any future negotiations will prove positive and even if the are successful tha timeframe of access remains uncertain. Premier has informed ACA Howe that the Company does not have funds available to undertake legal process or arbitration as this required the placing of significant bonds which are beyond the Company’s ability to pay.
Although significant expenditure has been incurred on the project to date in the Kyrgyz Republic and UK, this past outlay cannot be regarded to have a current value in a climate where safe working access to the mineral exploration project area is not possible to the Company (Or any associated organisation).
At this time due to lack of safe access, it is not considered to place a current valuation on the Cholokkaindy licence area. ACA Howe is of the opinion that at the current time, and whilst there is no reasonable likelihood of accessing the licence area in the foreseeable future, the Cholokkaindy licence area has no value.

The Company’s proposed new Investing Policy is to invest in and/or aquire companies and/or projects within natural resources and energy sector with potential for growth and income. The Company may also directly apply for new exploration licences or invest in existing licences. It is anticipated that the geographical focus will primarily be Europe, however, investments may also be considered in other regions to the extent that the Proposed Directors consider that valuable opportunities exist and returns can be achieved.
The proposed directors expect that investment will typically be held for the medium to long term, although short term disposal of assets cannot be ruled out if there is an opportunity to generate an attractive return for Shareholders.
The Directors believe that the Group’s success is highly dependent on the quality and loyalty of its employees, directors, officers and consultants. To assist in the recruitment, retention and motivation of high quality staff, as necessary, the Company must have an effective remuneration strategy.

Critical evaluation and discussion of the motives and issues of CSR and its impact and connection with strategic change.

This essay will critically discuss and analyse the significance of corporate social responsibility (CSR) in business management, its motives and issues as well as CSR connection with strategic change. The link between CSR and sustainability plan in business has a particular role in management operations. Each of the below discussed theoretical standpoints make an important contribution to the understanding of CSR financial and societal purposes. A number of business examples from Google, McDonald’s, Lego and H&M and others support the given arguments.

Corporate Social Responsibility or CSR has been defined and criticized by many strategists globally. Kotler and Lee (2005) described CSR as a commitment to improve community well-being through discretionary business practices and contribution of corporate resources. In 2015, CSR has been referred to companies taking responsibility for their impact on society and it is increasingly important to the competitiveness of enterprises. CSR can bring benefits in term of risk management, cost savings, access to capital, human resource management, customer relationship, and innovation capacity. (European Commission, 2015) Besides, CSR has a variety of business tactics and strategies which concern about environmental issues, practice philanthropic activities or ethical labour practices. Yet another definition of CSR suggests that it could be used by firms in order to get more support and awareness of politicians. Political CSR via philanthropy is the best way for politicians to become notable and gain respect from society, e.g. Clinton Foundation. Corporate Social Responsibility is especially valuable in building up the company’s image and relationships with political representatives as well as to establish a positive reputation within the business. (Hillman, Keim, Schuler, 2004) Nowadays, many SMEs and MNCs have a lot of interest in using CSR strategy as it can lead companies to success by increasing sales volume and brand awareness. Good business examples of CSR implementation has been demonstrated by the world’s well-known Google, Microsoft and The Walt Disney Company which were named as the top three CSR winners by Reputation Institute in 2014.

Corporate Social Responsibility plays an essential role in business growth and takes responsibility towards the community and environment (both ecological and social). Potential benefits of implementing a CSR approach were investigated by “The Economic Times” survey in 2013; it has been revealed that about 80 percent of executives have a CSR policy within their business strategy as it helps to improve their ‘general corporate reputation’. Google has been firmly committed to philanthropy activities orienting on the global challenges of climate change, education and poverty alleviation. For example, Google Maps launched China’s State Bureau of Surveying and Mapping with satellite pictures of earthquake-affected areas to better support and direct rescue efforts. Also, donation program Google Grants has supported hundreds of organisations and societies like China Red Cross, China Youth Development Foundation, Help Fight with Ebola and many other voluntary contributions to the community. This helped Google to differentiate from its main competitors and enhance relationships with customers, suppliers and networks worldwide. It is generally recognised that CSR approach helps business to save money, therefore increasing overall profits. For example, McDonald’s takes CSR very serious. They use energy saving equipment, low energy LED bulbs and recycle cardboard boxes as well as turn vegetable oil into biodiesel used by delivery trucks. Cost saving factor is one of the most important benefits in social responsibility thus creating a win-win proposition for both shareholders and society that moves company forward. Another benefit of CSR is that it has a positive impact on employee’s view of their employer. Unilever, a multinational consumer goods company, continues to train their employees online through Learning Management System (LMS) which provides lots of learning programs in more than 20 languages in 100 countries. By doing this, Unilever motivates and inspires potential employees thus creating pathway to their future career development. According to survey findings, 80 percent of respondents would prefer working for a company that has a good reputation for environmental responsibility. (Cooper and Wagman, 2009) It is also interesting to mention that Tom’s Shoes, a Californian company, donates one pair of shoes to a poor African child in need for every pair a shopper purchases. In turn, TOMS Company invests in their employees by providing a variety of benefits such as Paid Family Leave, Life Insurance, fitness and wellness classes. Another positive aspect of CSR states that innovation and corporate social responsibility are closely related concepts that bring benefits to organisations. LEGO responded to its financial crisis by focusing on innovation products; the creation of new bricks that children would buy based on their passion for the movies rather than for LEGO itself. By doing this, LEGO has been growing sales at 24 percent per year every year and growing profits at 40 percent per year every year for the last five years. (McKendrink, 2013)

Having considered the motives of doing CSR approach within the business industry, it is also reasonable to discuss and analyse the issues area. In the improperly managed business strategy, the implementation of CSR approach can cause a risk situation that creates a negative outcome for any corporation. For example, Bayer, an international chemical and pharmaceutical German company, has been accused of having a number of hazardous pesticide ingredients in different products in various quantities. These products mainly contained toxic and had a dramatic influence on bees as well as on many other insects, although the company positioned themselves as eco-friendly. Undoubtedly, social responsibility should result in positive outcomes for both the business and the society but, like an iceberg, most CSR activity is invisible. It is always an active attempt to increase corporate domination rather than simply a defensive ‘image management’ operation. (Miller, 2003) Some strategists see corporate social responsibility as a Public Relation activity that helps business firms to build brand loyalty and develop a positive relationship with key customers. In 2004, the Guardian newspaper article stated that CSR activity is often used as a PR tool and there is no coincidence that firms in areas such as oil, tobacco or mining are its biggest public leaders. Another criticism of CSR claims that this approach has an underlying financial motive so that the company benefits even more than the charity. Paul Polman, the CEO of Unilever company, launched sustainability living plan (USLP) for ten years with the aim to double the size of the company while reducing the environmental impact. The outcome is a virtuous circle where the firm’s stock value increases and its access to investment capital is eased. It is also important to note that many business enterprises, particularly with CSR approach, often save money on labour cost. For instance, H&M’s scandal in Cambodia in 2010 has raised lots of concerns about their factory employees who were paid so little that people did not have enough money for living expenses and food. Besides, the company has been also accused of hiring suppliers with bad working conditions what damaged H&M brand image and the real CSR purposes has been revealed to the public. The last but not the least disadvantage of corporate social responsibility is associated with costs for environmental and waste management programs, employees training schemes and overall investment into local societies and communities. Companies spend lots of money every year on Corporate Social Responsibility just because it is a valuable component in building trust and support from stakeholders. Consequently, it is possible to claim that CSR concept is a strategic management tool that drives the strategy change in organization’s structure in order to avoid a failure or decrease in sales volume.

Corporate social responsibility or CSR is an essential part of management that examines ethical issues in every aspect of the business. Social responsibility is widely recognised as one of the main elements of the strategy formulation process thus making strategic decisions which have economic and social consequences. Due to the internal and external environmental changes, business objectives should be reviewed over time, and they should be reconsidered in relation to the CSR strategy. Todd Ballowe (2009) defined strategic corporate social responsibility as a strategic approach when companies can determine the activities they have, the resources to allocate to being socially responsible that will strengthen their competitive advantage in the market. Indeed, effectively managed CSR programs can create major benefits in terms of reputation, returns, the motivation and loyalty of employees. Today, the growing popularity of sustainable development or environmental sustainability topic has become a very common concept for many business leaders in different industries. In fact, the combination of both the CSR and sustainable development policy is partially the same scheme which solves a number of global problems such as animal protection, pollution or poverty meanwhile earning trust, respect and loyalty of customers. Balogun and Hailey (2008) emphasize the fact that technological change is pushing many firms to adopt new technologies and change the way they both work with their suppliers and customers. The above mentioned example from LEGO shows that innovation and sustainability development helped the company to adapt to external and internal changes, and stay closely-connected with its customers. On the other hand, corporate social responsibility not always go right and a number of CSR failures has been noted. For instance, Gazprom Neft (the largest Russian extractor of natural gas) and Gap (textiles firm) have been named as the worst businesses for human rights and environment damages by annual Public Eye Awards in 2014. Having a CSR approach since 2010, Gazprom still has poor records on safety, environment and transparency. (Bertini, 2014) When mentioning corporate social responsibility, the triple bottom line framework (TBL or 3BL) is important as well. The 3BL is an accounting framework that includes three different dimensions of performance: environmental (planet), social (people) and financial (profit). A lot of businesses and non-profit societies such as FedEx, Tesco, Nike or small shops like Jessica Alba’s non-toxic baby product company, have implemented the triple bottom line sustainability framework in order to analyse their performance, and a similar approach has gained currency with governments at the federal, state and local levels. (IBR, 2011) In addition, as part of an overall CSR plan, the three Ps (planet, people, profit) provide tangible benefits in the form of employee retention and engagement.

Corporate Social Responsibility, abbreviated as CSR and known as corporate citizenship, has been widely discussed and criticized by many strategists and management gurus. CSR can bring a number of benefits to a company such as cost savings, positive reputation and trust in the minds of consumers, brand awareness and increase volume sales. Hundreds of organisations and societies are financially supported by many well-known companies such as Microsoft, Google and Unilever. CSR brings the best to the society and environment thus making a profit. It has become a strong and necessary part of business strategy and makes organisation more competitive. However, corporate citizenship always has been criticized due to its personal corruption motives or high investment cost into waste management and training schemes. Despite these criticisms, CSR popularity still remains high. Corporate social responsibility is a strategic management tool that can improve the current business strategy and move the company forward.