Solving Social Problems Is Key Motivator for Giving, Big Companies Say

Big companies are most likely to give to charity or undertake other social-responsibility efforts because they want to fight national or global problems, according to a new study by Weber Shandwick, a public-relations firm in New York.

But business-oriented goals, such as building consumer loyalty, were the primary drivers for many corporations.

The survey of 216 executives, who work at companies that are among the nation’s 2,000 largest, as ranked by Fortune magazine, found that 30 percent said they put money and time into corporate social-responsibility efforts primarily to make a difference on critical social issues.

Twenty-five percent said they do so mainly because such programs are a good way to put their values into an action.

Business Goals

Smaller shares of companies cited business objectives as the main reason they support social programs: Eighteen percent said doing so was, above all else, a smart decision for the business. Fifteen percent cited customer loyalty as their top motivation, and 6 percent said it was a way to differentiate the company from its competitors.

Most corporate executives surveyed viewed nonprofit organizations as critical to their social-responsibility efforts. Seventy-nine percent said nonprofits are valuable partners in such efforts, although only 59 percent of those polled said their employer provided money to nonprofit groups.

Meanwhile, 72 percent said they believed that providing money to charities helps to improve the effectiveness of companies’ social-responsibility programs.