While the goal of all cause marketing is to foster a positive reputation, CauseMarketing.com tags the business purpose of a campaign as “goodwill” when there is no other, more direct goal (i.e., sales, defense, or advocacy). As an example, if a cause marketing campaign offers veterans discounts or free meals on Veterans Day, then the business goal of that campaign is sales. But if the cause marketing campaign simply thanks veterans for their service without incentivizing sampling, then the business goal of that cause marketing campaign is “goodwill”.
The study finds that CSR significantly improves profitability, management efficiency, and market valuation. On the other hand, corporate irresponsibility has a marginal effect on damaging profitability only — and no significant effect on damaging management efficiency or market valuation. When a firm acts both responsibly and irresponsibly, the study confirms the “halo-effect” because the positive impact of CSR on financial performance outweighs the negative impact of acting irresponsibly.
The findings of this Ph.D thesis provide evidence that CSR can be used by professional sports organizations to improve their reputation among consumers. Moreover, CSR can be used to counter negative effects of sport organizations’ unethical behaviors and reduce the impact on the organizations themselves as well as on their stakeholders.