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| Author: | File, K. M. Prince, R. A. |
| Title: | Cause related marketing and corporate philanthropy in the privately held enterprise |
| Journal: | Journal of Business Ethics
1998 : OCT, VOL. 17:14, p. 1529-1539 |
| Index terms: | Business ethics Marketing Statistical methods USA |
| Freeterms: | Cause related marketing Philanthropy |
| Language: | eng |
| Abstract: | Owners of businesses represent an interesting case in the study of the intersection of corporate philanthropic and personal values. Because individuals who own businesses have the ability and means to act on philanthropic motivations through the medium of their businesses, it is interesting to explore the extent to which their corporate contributions to non-profits are philanthropic in nature or instrumentally motivated, as in the instance of cause related marketing. The trade-offs btw. cause related marketing and corporate support of non-profits are complex. The motivations for and extent of adoption of cause related marketing among privately held businesses are not too well understood, although larger firms are increasingly investing in cause related marketing. It is shown, through a study of 478 businesses which are supporters of arts organizations, that privately held businesses of medium size (from 300 to 500 employees) are participating in cause related marketing to a significant degree. The adoption rate of cause related marketing is about 40 per cent, and the primary benefits sought are company image enhancement and product marketing support. |
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