The importance of your corporate responsibility should never be underestimated. Sure, price, quality and customer service are key factors in deciding if a business is worth your time – but what about the impression you make on your customers? Many people judge a business on what they are doing for their local community and the world at large.
So, should a business owner focus on charity or philanthropy? Is there a difference? Read on to hear our thoughts on this important topic.
What Is the Difference?
Many people believe that charity and philanthropy are the same thing, but this is not the case. As a business owner, you should know that there are some key differences between these two approaches, and both offer significant value to your public reputation.
Charity typically refers to taking a hands-on approach to providing aid, relief, and support to individuals, communities, and countries in need of immediate help. This often involves large donations that the charity can use in the short-term, for resources such as clothing, food, clean water, and medical aid.
In comparison, philanthropy often refers to the act of putting measures in place in order to facilitate long-term change. A remarkable example of this sort of work is UK philanthropist Tej Kohli, who has set up a foundation in his name in order to help various causes.
He stands among many UK philanthropists including Sir Tom Hunter and George Weston who are striving to improve the lives of people around the world. Their long-term strategies focus on important matters and certainly improve the reputation of their business, despite that not being their aim.
Long Term Strategy
For business owners, charity and short-term donations can often be easier to manage and there is less commitment involved. On top of that, you are injecting money there and then, so those in need can seek the benefits immediately.
Of course, for those hoping to generate a long-term corporate responsibility strategy, philanthropy is the preferred option. By offering investments into research and innovations in technology and medicine, you can contribute toward the fight for a safer, healthier and more prosperous future.
What Is Better?
The decision on whether charity or philanthropy is better for a business is often down to the individual circumstances. However, overall, we would suggest that philanthropy is a more sustainable route to helping others in need and improving the reputation of your business along the way.
Philanthropy and corporate philanthropy are valued by those in need and whilst charity can be useful, philanthropy offers more in the long-term.
For business owners in the UK, careful consideration should be given to any kind of corporate responsibility strategy. We believe that a business owner should sit down and consider their values and what they want to do to help those in need. If there is a particular cause that stands out, a strategy should be put in place to help those who are affected by it.
If a long-term plan is not possible, charity is always welcomed by the people of the UK in desperate need.