Benefits to Small Medium Companies in Practicing Corporate Social Responsibility

Corporate Social Responsibility (“CSR”) is the concept that a business is concerned with more than just making profits. CSR is a concept closely related to Ethical Business Practices, in that a company is much more than a money-making, heartless machine. CSR, in Malaysia at the moment, is not a popular concept among Small and Medium Businesses as companies focus more time and energy to growth & becoming a recognized brand in its industry. CSR may, in fact, actually help companies achieve those goals of growth and brand recognition. Here are 3 benefits to practicing CSR:-

1. Attracting Customers
   Consumers these days are more and more conscious of the products they buy and the companies that produce those products. Consumers may choose to do business with companies that show commitment in CSR. The good the company does is part of a perceived value that can result in higher consumer satisfaction.
2. Positive Company Image
   A companies image or perceived image is a large part of the success of a company. Consumers will want to be associated with, and deal with companies with a positive image. The Companies image will also affect its relationship with its suppliers, potential investors & government agencies.
3. Recruiting Employees
   More and more employees are looking for more than just a good salary. They look for job satisfaction and personal fulfillment. A company that practices CSR will attract these types of employees. A happy employee works harder for the company.
4. Tax Deductions
   Certain CSR activities are tax deductible. Check with the Income Tax Department for details.