Essays on Corporate Social Responsibility Theories Case Study

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The paper "Corporate Social Responsibility Theories" Is a great example of a Management Case Study. Just as the way life is not a straight path, so is the running of an organization. With every day dawn, mishaps are due to occur which may be resulting from forces acting from either the internal or external of an organization. The impacts of the mishaps on the organization vary according to their magnitude. When the degree is high, it leads to the creation of a critical incident; one that affects heavily on the daily routine of an organization, creates uncertainty and it may trigger an institutional redefinition or transformation.

The following case study gives an insight into the ‘ Tesco Horse Meat’ scandal from the perception of a critical incident. 2.0 Company Background: Tesco PLC Tesco is one of the largest retailers in the world. Tesco started its operation is 1919 as a collection of market stalls; an idea which was brought up by its founder Jack Cohen. Over time, the company has grown from just a market stall to a multibillion company with 15 business prospects in the UK where its headquarters are situated and internationally.

As of now, the company has business prospects in 12 countries around the globe (Tesco PLC 2013, p. 1). The company has an employee base of 530,000 personnel. The company retails a wide range of products ranging from grocery, food items, clothing and electrical. Tesco is currently the biggest retail store in the United Kingdom. 3.0 Critical Incident A critical incident is an incident that deviates by a great margin from what is considered normal either positively or negatively. The recent discovery of horse DNA in the meat products retailed at Tesco can be considered as a critical incident.

The Tesco horsemeat scandal is in line with the meat adulteration issue which is currently a major issue in Europe, hence leading to the heightened analysis of meat samples from the retailers operating in the region. Although horsemeat is edible and cannot cause any bodily harm when ingested, it is considered unfit for consumption by many European countries for instance in the United Kingdom. For an incident to be referred to as a critical incident, it must fulfill three basic requirements.

The following section will analyze the Tesco horsemeat scandal with respect to these three requirements. Firstly, a critical incident must have a critical character that causes a direct shock to the normal procedures and routines of an organization. Taking a look at the Tesco horsemeat scandal, it can be acknowledged that the retailer’ s daily routines have been affected immensely. The giant retailer has recorded low sales as a result of the scandal. In fact, the sales tumbled by a high of 15.5 % in some markets, for instance, Czech (Neate & Moulds 2013, p. 1).

In addition to this, the company’ s share price fell on the news. Secondly, a critical incident leads to uncertainty in an organization. On this point, it can be acknowledged that the horse meat scandals lead to confusion in the stakeholders; the customers did not trust Tesco’ s products while the employees did not know how to explain the horse’ s meat found its way into the company’ s products. Thirdly, a critical incident has the ability to trigger a transformation in an institution in addition to redefining it.

On this aspect, the focus which the food safety authority of Ireland and other food safety regulatory organizations have given to the testing of food products in Europe.

References

Brusseau, J., 2013. The Business Ethics, v. 1.0, The Flat World Knowledge Inc, New York

Garriga, E., & Mele, D., 2004. Corporate Social Responsibility Theories: Mapping the Territory, Journal of Business Ethics, Vol.53, no.1, pp. 51–71.

Neate, R., & Moulds, J., 2013. Tesco Sales tumble on Horsemeat Scandal, The Guardian, Retrieved on 6th July 2013 from

Phlips, R., Freeman, E., & Wicks A., 2003. What Stakeholder Theory is Not, Business Ethics Quarterly, vol. 13, no.4, pp. 479-502

Tesco PLC 2013. About us, Retrieved on 6th July 2013 from < http://www.tescoplc.com/ >

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