Seventy-one percent of consumers say they have an unfavorable opinion of U.S. businesses. As a small business owner, that's a very disheartening statistic to me. Presumably, this bad blood between consumers and business stems from scandals like the Enron debacle, lawsuits against tobacco companies, the dysfunctional airline industry and other corporate crises.
But there are many, many good corporate citizens locally and nationally that consumers may be lumping in with the bad. In the wake of corporate scandals, some companies have begun or increased corporate social responsibility (CSR) programs. Proponents of CSR say that businesses should make decisions based not only on financial factors like profits or dividends, but also on the social and environmental consequences of their activities.
There is evidence that CSR programs do count with some consumers and can affect a company's bottom line. A recent Brandweek survey showed 60 percent of respondents said they were more likely to buy from a company that is mindful of its impact on the environment and society. Additionally, the survey found that 57 percent said they felt more loyal to companies that were socially responsible, and 38 percent were willing to pay more for products produced by socially responsible companies.
For many years, large local employers like Toyota and Lexmark have been giving back to the community and developing products and processes that are environmentally friendly. They are considered to be good companies and good corporate citizens. But, what about smaller, independent businesses? Is it possible for them to do well by doing good? Well, yes.
Small businesses can and are doing good things in Central Kentucky. A couple of examples are the Klausing Group, a commercial landscaping company, and Buggies Unlimited, which sells golf carts and golf cart accessories.
Roscoe Klausing, owner of Klausing Group, has a specific plan for giving back. Inspired by outdoor outfitter Patagonia's 1% For The Planet program, Klausing decided to start 1% for the Community. Klausing gives one percent of his annual sales each year through in-kind services that make a difference in the community.
Since 2001, Klausing Group has donated services totaling thousands of dollars to non-profit agencies in Central Kentucky. Recipients include God's Pantry, Living Arts and Science Center, McConnell Springs, UK Arboretum and Beaumont Learning Center. This spring, Klausing Group will add the men's Hope Center to the list.
Klausing said he believes more business owners should focus on how to improve the community.
"All business owners have a responsibility to give back to the community they operate in," he said. "It's so easy to do and any business can set up a plan to give back.
In addition to giving back