Free Essay Sample on Strategic Philanthropy in Firms

Strategic philanthropy is a topic in public relations that provides knowledge regarding better ways of integrating marketing goals with the welfares of the community. The proponents of the ideas in the topic understand the importance of the humankind (consumers) in the success of the business (Hallahan et al. 34). The primary goals of a company are to make profits by providing quality services to the customers. This essay, therefore, is a reflection on the strategic philanthropy, one of the topics in the strategic public relations.

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During the study of the subject, it was clear that the engagement of the company on community service increases its profitability. Ideally, the philanthropic activities of the company help to establish a connection with organizations that are not profits oriented. Essentially, companies depend on the community for their success (Hallahan et al. 33). The study of the strategic philanthropy helps one understand that the company has the responsibility to work for the common good of the community.

Notably, the benefits that the company receives for engaging in philanthropic activities in the community may seem negligible, yet they are crucial (Hallahan et al. 35). In the process of studying the topic, it was apparent that there is a mutual relationship between the company and the community. For example, workers in the company come from the community. Moreover, the same community buys products from the company thus enabling the company to earn profits. It was convincing to learn that the company benefits greatly because of its involvement in philanthropic activities in the immediate environment.

Some of the benefits of strategic philanthropy include reductions in employee turnover, an increase in the company performance and improvement in the rate of productivity. When the company is involved in the affairs of the community, the employees from the immediate environment will feel part of the community (Campopiano et al. 345). As a result, the workers from the community will develop loyalty and a higher level of commitment to the work in the company. High employee turnover increases the expenses in the business because there is a need for finances to train new employees every time.

Additionally, philanthropy motivates the employees in the workplace and thus increasing their productivity. It was clear from class materials that human resource is the most important resource in the company (Campopiano et al. 350). For example, it helps the organization to implement its goals. It came to the attentions that philanthropy is one way that the company can build public relations. It increases the cohesive power between the company and the public. Moreover, the start of philanthropy by one company will be a role model for other companies.

Although the class materials emphasize on the important that comes with philanthropy, the activity is expensive. For example, Philanthropy may involve sponsoring children from the locality, donations of food and building materials to the locals, making coffee contributions to an event in the community or providing a space for high schools club to run a business (Gautier & Pache, 250). The activities require resources from the company and may lead to the financial strain. The engagement of the company in community services may also stir negative image. For instances, many proposals requiring the company to donate resources to the local project may come at the same time. It will be challenging for the organization to accept some proposals and decline some. In this case, the company will decline all to embrace fairness hence preventing the company from the important duty.

Notably, having read the class materials it is clear that the author of the topic is unidirectional. For example, emphasizes is on the reasons why the company should involve in community service. However, little focus is on the reasons why the company should not involve in all community service proposals. The materials should consider capturing helpful strategies that help regulate the cost of the involvement in philanthropy. Some essential strategies that can help reduce the companies expenditure on philanthropy involve the youths in the marketing of companies products at a commission (Gautier & Pache, 255). Additionally, the company should consider selling products at subsidized prices to the community to benefit the public with profits. In this way, the company will not only make a profit but also engage in the community service. In addition, a profitable way is for the company to participate in the conservation of the environment for the benefits of the entire society.

In conclusion, it is clear that strategic philanthropy refers to the involvement of a company in the welfare of the community in pursuits of profits. It is clear that a philanthropic activity benefits the company by reducing the employee turnover, improving its performance and productivity, and acting as a role model. However, the learning material should have considered better ways of involving the community activities. For example, the company should involve creativity in their involvement in community service to maintain its profitability. It should consider activities like utilizing the youths to market the products of the company at a commission. In this way, the company benefits from marketing while the youths benefits from the commission.

Reference

Campopiano, G., De Massis, A., & Chirico, F. Firm Philanthropy in Small-and Medium-Sized Family Firms The Effects of Family Involvement in Ownership and Management. Family Business Review, 27(3). (2014), 244-258.

Gautier, A., & Pache, A. C. Research on corporate philanthropy: A review and assessment. Journal of Business Ethics, 126(3) (2015)., 343-369.

Hallahan, Kirk, et al. "Defining strategic communication." International Journal of Strategic Communication 1.1 (2007): 3-35