read the document attached and tell if you agree or disagree with my theory. Regardless of your view, please detail why you agree/disagree, and justify your agreement/disagreement with one of the ethical theories we learned this term. The post should be between 300-500 words.
15032-4834d-1pass-r01.indd DOI: 10.4324/9781003139461-19 17 Advancing Socially Responsible Strategies Through Earned Social Media Catalin G. Pavel and R. Greg Bell Over the last three decades companies have tried to be socially respon- sible by creating a business setting where they have a positive impact on society, environment, and the economy, all without compromising profi t- ability. Along with their quest to be socially responsible, fi rms today are looking for ways to convey their e� orts to consumers and other stake- holders. Research suggests that an organization’s image is a� ected by the combination of interactions between members of the organization and external audiences and corporate spokespersons’ engaged in impression management ( Hatch & Schultz, 1997 ). To shape stakeholder perceptions, many organizations make public their CSR e� orts in annual CSR reports. Communicating CSR practices is not as easy as it may sound. It has been long known that when communication is not clear for consumers, comprehension can su� er ( Keyes, 1953 ). Thus, how can fi rms make consumers aware of CSR practices in an e� cient and cost-e� ective way? Epstein and Roy (2001 ) identify commu- nication and promotion of CSR activities as the key performance drivers of successful CSR practices. We suggest that CSR communication must go beyond the release of CSR reports best practices. To ensure that CSR communication reaches its intended purpose, we propose that fi rms bring the consumer into the communication process. In other words, fi rms may benefi t from a pull strategy, where consumers are freely spreading the word on behalf of the fi rm instead of the ordinary push approach refl ected by the CSR reports published on annual basis. Specifi cally, CSR communication is about choosing the right message and proper medium of di� using the message to ensure consumers receive it as intended. We believe the essential test that should guide CSR communication it is not whether it is worth it but whether it presents an opportunity to engage the consumer. It is this type of engagement that can lead to positive results, and we posit that social media is a viable medium for engaging consum- ers and contribute to a positive fi rm image. In this chapter, we suggest that it is increasingly important for a fi rm to know how to publicize its CSR initiatives and create the synergy that will lead many consumers to bond with the fi rm. We suggest that message 226 Catalin G. Pavel and R. Greg Bell appeals and decision-making styles may generate positive earned social media (ESM) regarding the CSR e� orts of a fi rm, and in turn, positive ESM may lead to the sought-after consumer-fi rm bond that will deter- mine consumers to continue advocating on social media for their pre- ferred CSR-conscious organizations. Our approach is an adaptation of Court, Elzinga, Mulder, & Vetvik’s model that, after its publication in 2009 in McKinsey Quarterly, has pos- itively infl uenced branding processes in the digital era. Although Court et al.’s (2009 ) approach is marketing-related, we suggest that it could be helpful in a modifi ed form in the CSR communication area as well. Specifi cally, we believe that consumers of CSR-related news evaluate and advocate (Stage II in Court et al.’s model) based on how CSR e� orts are presented. Those who are impressed by a fi rm’s CSR e� orts may bond with the company (Court et al.’s Stage III), and continue to advocate on its behalf. We present these ideas in following sections. CSR Communication CSR’s “triple bottom line” that attempts to harmonize a fi rm’s e� orts to become socially responsible, environmentally sound, and economically viable has steadily grown in importance among organizations. Rising consumer interest in CSR has prompted fi rms to invest in CSR initiatives when they viewed this investment as a profi table proposition. Likewise, when fi rms deem CSR practices to increase customer loyalty, sales, or the fi rm’s positive public opinion, they will often publicize their CSR initiatives. Van de Ven (2008 ) proposed three approaches for CSR communi- cation: reputation management approach, building a virtuous brand approach, and the ethical product di� erentiation approach. Organiza- tions will often adopt one or more of these approaches when developing their CSR reports. However, regardless of the approach used, consumers’ reaction to CSR communication is still contradictory. Indeed, profusion of CSR claims, justifi ed or not, does not guarantee that a strategy of “do good and let others talk about it” will work. In fact, this strategy may cause fi rms to miss their full potential if consumers are not engaged in conversations. Knowing how to properly communicate CSR initiatives may assist with developing competitive positions. As such, it has become a fre- quent topic in corporate communication because it is regarded as something that a� ects the fi rm’s reputation and legitimacy ( Verboven, 2011 ). Despite this importance, consumers are still largely uninformed of fi rms’ CSR practices ( Bhattacharya, Sen, & Korshchun, 2008 ). We explore opportunities for fi rms to communicate CSR practices in the following sections. Advancing Socially Responsible Strategies 227 Earned Social Media The advent of social media has created new opportunities for fi rms to advertise their products and services. However, their emergence has prompted fi rms to seek a better understanding of consumers’ social media habits and how to exploit those habits to increase sales, brand loyalty, or willingness to purchase. One of the challenges for organiza- tions is attempting to discern the motivation of consumers to engage in social media. Scholars also point that consumers’ engagement in social media refl ects their desire to be infl uential, their desire to interact, keep in touch with friends and family, seek opinions of others, receive brand promotions, of communicate better with friends and fi rms ( Gironda & Korgaonkar, 2014 ). The collaborative nature of social media creates a tremendous opportunity for fi rms to interact with their consumers. Consumers fi nd social media a very convenient method to generate and disseminate brand-related messages and, in turn, the easiness of con- sumer-authored social media assists fi rms ascertain what consumers care about the most ( Dobele & Lindgreen, 2011 ). This user-generated content is referred to as earned social media. Thus, ESM represents any brand- related content posted on social media platforms by organizations and/or people not associated with the brand. Examples of ESM include reviews and videos about a fi rm’s product and/or services, shares of the fi rm’s social media posts, or any other content intended by the user to provide his or her opinion on a fi rm’s o� erings. ESM’s salience is undisputable considering the fast and far-reaching e� ect of social media posts. The interest in ESM is tied to the way social media platforms operate. Specifi cally, platforms such as Facebook operate on social connections based on pre-existing relationships. In turn, this creates an opportunity for fi rms to reach to users’ contacts and, based on the users’ news inter- est, push content that matches their preferences. Forman, Ghose, and Wiesenfeld’s (2008 ) study is of particular interest because it uncovered that consumers trust those in their inner circle more than strangers. Thus, if fi rms would like to get the word out about their CSR practices, it will behoove them to learn what determines consumers to engage in ESM. ESM is a construct comprising two dimensions: volume and valence. ESM volume is represented by the number of all ESM content created voluntarily by social media users, whereas ESM valence is the sentiment, either positive or negative, expressed by the ESM post. As a dichotomous construct, ESM ought to be regarded by both users and fi rms as a tremen- dous opportunity to benefi t from. From consumers’ perspective, ESM is important because they can share content, fi nd information, learn, be entertained and, most importantly, feel empowered. This empowerment decreased traditional media’s infl uence, especially because social media provides an easy avenue of sharing experiences, opinions, reviews, and CPavel Cross-Out CPavel Inserted Text or 228 Catalin G. Pavel and R. Greg Bell feedback online. The consumers’ role changed from merely observing an advertising ad and sharing impressions with the inner circle of acquaint- ances to co-creating content with marketers that can be shared quickly worldwide ( Singh & Sonnenburg, 2012 ). As a result of this involvement, consumers make purchasing decisions based on reviews because they are more inclined to trust other users’ opinions ( Nielsen, 2012 ). Concurrently, ESM presents an opportunity for fi rms to benefi t from positive ESM. Specifi cally, fi rms recognize ESM’s potential to engage con- sumers in disseminating news about a fi rm’s CSR practices. The conun- drum experienced by practitioners, however, is how to create an online setting that will not seem controlled by the fi rm and not feel boastful and unauthentic ( Nelmapius & Bosho� , 2016 ). The infl uence of positive valence ESM has been studied in various con- texts. Studies such as Colicev, Malshe, and Pauwels’ (2018 ) revealed that reduced uncertainty based on third party reviews lead to increased sales or brand equity. We propose these fi ndings can be applicable to the CSR context as well: the more consumers engage in positive ESM about a fi rm’s CSR practices, the higher the regard for that fi rm. We opine fi rms should concentrate on generating positive ESM in small online communi- ties because these have the highest potential to generate the most negative ESM. Volume of ESM is also of great signifi cance. For example, Goh, Heng, and Lin (2013 ) found ESM volume to be a great contributor to brand awareness. This fi nding is complementary to an earlier study by Berger, Sorensen, and Rasmussen (2010 ) that found that the higher the volume of reviews, the higher the number of sales when compared to those of unknown