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Challenges in the Era of Globalization - iaabd

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Proceed<strong>in</strong>gs <strong>of</strong> <strong>the</strong> 12th Annual Conference © 2011 IAABD<br />

fundamentally constitutes a means <strong>of</strong> establish<strong>in</strong>g “what is happen<strong>in</strong>g; to seek new <strong>in</strong>sights; to ask<br />

questions and to assess phenomena <strong>in</strong> new light.”<br />

In this qualitative study, <strong>the</strong> case study approach was adopted s<strong>in</strong>ce it provided an excellent opportunity<br />

for a detailed and thorough exam<strong>in</strong>ation <strong>of</strong> CSR practices <strong>of</strong> <strong>the</strong> focal company (MTN) <strong>in</strong> Ghanaian<br />

context.<br />

Data for <strong>the</strong> paper was collected from a lead<strong>in</strong>g telecommunication service provider <strong>in</strong> Ghana <strong>in</strong> an<br />

attempt to ga<strong>in</strong> an understand<strong>in</strong>g <strong>in</strong>to CSR practices under <strong>the</strong> conceptual lenses <strong>of</strong> a stakeholder model<br />

for implement<strong>in</strong>g CSR <strong>in</strong> market<strong>in</strong>g developed orig<strong>in</strong>ally by Branco and Rodrigues (2006) and adopted<br />

and modified by H<strong>in</strong>son et al., (2010). A comparative study was conducted <strong>in</strong> order to ascerta<strong>in</strong> MTN’s<br />

CSR programmes per <strong>the</strong> study’s framework. Personal visits were made to <strong>the</strong> organization and <strong>the</strong><br />

Executive Secretary <strong>of</strong> MTN Foundation was <strong>in</strong>terviewed on January 14, 2011 cover<strong>in</strong>g wide range <strong>of</strong><br />

issues concern<strong>in</strong>g CSR activities <strong>the</strong> company engages <strong>in</strong>. The <strong>in</strong>terview sought to identify how MTN<br />

plans and implements its’ CSR engagements and which stakeholder <strong>in</strong>terest are captured. The <strong>in</strong>terview<br />

was recorded, transcribed, and subsequently used as part <strong>of</strong> <strong>in</strong>puts <strong>in</strong>to <strong>the</strong> f<strong>in</strong>d<strong>in</strong>gs <strong>of</strong> <strong>the</strong> study.<br />

O<strong>the</strong>r sources <strong>of</strong> evidence <strong>in</strong>cluded documentation and archival records obta<strong>in</strong>ed ma<strong>in</strong>ly from <strong>the</strong><br />

website <strong>of</strong> MTN.<br />

Discussion <strong>of</strong> f<strong>in</strong>d<strong>in</strong>gs<br />

Currently, MTN’s CSR programmes focus on philanthropic activities to support <strong>the</strong> poor communities <strong>in</strong><br />

Ghana <strong>in</strong> two ma<strong>in</strong> areas: health and education. These activities are planned and implemented by an<br />

<strong>in</strong>dependent body; “MTN Foundation”, a separate unit with<strong>in</strong> <strong>the</strong> organization responsible for CSR<br />

programmes. As <strong>the</strong> Executive Secretary <strong>of</strong> <strong>the</strong> Foundation noted;<br />

“The MTN Foundation has its own structure and its’ Board <strong>of</strong> Directors and focus on two areas: health<br />

and education.”<br />

However, an exam<strong>in</strong>ation <strong>of</strong> MTN’s mission statement posted on <strong>the</strong> company’s website suggest<br />

commitment to multiple stakeholder groups such as customers, shareholders, employees and <strong>the</strong><br />

community <strong>in</strong> which MTN operates. This is evident <strong>in</strong> <strong>the</strong> mission statement below:<br />

“Build<strong>in</strong>g shareholders’ value by ensur<strong>in</strong>g maximum customer satisfaction through provid<strong>in</strong>g latest<br />

telecommunication services, at <strong>the</strong> most economical rates while meet<strong>in</strong>g its social responsibilities as good<br />

corporate citizen and provid<strong>in</strong>g growth prospects for its employees.”<br />

Hav<strong>in</strong>g expressly and overtly declared commitment to <strong>the</strong>se multiple stakeholders, it was expected that an<br />

apex body such as <strong>the</strong> MTN Foundation would have been a suitable platform for coord<strong>in</strong>at<strong>in</strong>g<br />

programmes aimed at address<strong>in</strong>g <strong>the</strong> issues <strong>of</strong> <strong>in</strong>terest to <strong>the</strong>se stakeholders. It was however, observed<br />

that market<strong>in</strong>g activities and CSR are planned and implemented separately and poorly coord<strong>in</strong>ated. In<br />

response to a question that sought to f<strong>in</strong>d out how CSR activities are coord<strong>in</strong>ated and embedded <strong>in</strong><br />

MTN’s market<strong>in</strong>g activities, <strong>the</strong> Executive Secretary <strong>of</strong> <strong>the</strong> Foundation had this to say;<br />

“CSR is <strong>in</strong>dependent and doesn’t necessarily have to look at what market<strong>in</strong>g is do<strong>in</strong>g before undertak<strong>in</strong>g<br />

its projects. Market<strong>in</strong>g and CSR are two different k<strong>in</strong>ds <strong>of</strong> entities, Market<strong>in</strong>g does its shows, publicity to<br />

be able to generate some <strong>in</strong>come and give a percentage for CSR activities”<br />

This f<strong>in</strong>d<strong>in</strong>gs confirms similar observations made by Maignan et al. (2005), <strong>in</strong>dicat<strong>in</strong>g that even though<br />

many some lead<strong>in</strong>g bus<strong>in</strong>esses –<strong>in</strong>clud<strong>in</strong>g Shell, Beyond Petroleum, and Starbucks-have <strong>in</strong>troduced<br />

<strong>in</strong>novative corporate social responsibility (CSR) <strong>in</strong>itiatives, many organizations have failed to implement<br />

a solid CSR programme that truly <strong>in</strong>tegrates and balances <strong>the</strong>ir responsibilities to various stakeholder<br />

groups.<br />

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