Learning aim A: Examine the CSR issues facing large private sector
businesses
In this section of the assignment I will be undermining the importance as well as issues behind
why CSR has created difficulties to large- cooperation. Understanding why CSR is detrimental to
having a good impact on the business world, economy, environment and society
Chosen Enterprise: Apple and Tesla
Apple is an American multinational technology firm that designs, develops and
specialises in selling electronic devices such as computer software, mobile
phones, Laptops, headphones and many more innovative products to their
consumers. Apple is one of the largest corporations in their marketplace and
within the business world with a net worth of 2472.32 billion. The company
has built its predominance through the success of its smartphones being a
major leap to their massive success in attracting large quality and reach of customers. And is
still thriving and is the largest production maker and seller of smartphones, helping build its
positive reputation and wider publicity. Apple has been affected by CSR issues both positively
and negatively. The increasing concern for environmental issues caused by businesses has led
Apple to influence and create a more eco-sustainable environment through its products and
services. Being the biggest influential company in the world, it has led many businesses to be
socially responsible for environmental issues. To tackle environmental issues such as pollution
and CO2 causing the greenhouse gas effect. Apple's implementation of removing the charger
and Ear Pods from the iPhone box allowed 70% more devices to fit on a pallet. More boxes on a
pallet would allow Apple to ship more phones to users at one time. As a result, using smaller
boxes would allow Apple to reduce yearly carbon emissions by 2 million metric tons.
Tesla is a PLC and an international company that is well known for their high-tech, premium and
high-end electric vehicles. Tesla's headquarters are in America located in Palo Alto, California,
United States. The CEO of Tesla is Elon Musk who also is the co-founder of SpaceX and owner of
many other companies. Elon Musk was born in 1971 and started his business, Tesla in 2003. The
first launch of the Tesla car was in 2008 in which they showcased the roadster, a fully electric
car that can run on a battery. The production of the roadster began in 2009. After a failure in
satisfying customers. From there in 2011 Tesla released a prototype of the luxurious model s
which then in 2012 fully began production. Tesla designed the first-ever fully electric car, which
shaped up to be a huge success in the electric car market, the Model S was what the customers
wanted with high-end technology and a premium build quality, and the body of the model s
was made from aluminium, the acceleration went from 0-60 mph in 2.28 secs which is insane
, for electric vehicles as it even surpasses a Lamborghini Huracan at 2.9 secs. Model S is the best-
selling electric car in the world. After the huge success Tesla received, they introduced
supercharging in 2012, this is where you can charge your vehicle (fast). There are now
approximately 2,016 supercharging stations worldwide in 2020, this will help Tesla grow even
bigger in the business market. In Mid 2017 Tesla began production of the Model 3, this car was
promoted to be more affordable compared to the other tesla when they began production. The
Model 3 was the best-selling vehicle in the tesla market this is because of the seamless, smooth
experience when driving on the road and the premium feels of the car, another reason is auto-
driving where consumers trust the vehicle to drive itself and take you anywhere you have
located, auto-driving still get updates and improvement to the software, so any bugs or issues
are solved. The car gets many updates, adding new features to the car, for example, Tesla
randomly chooses a food place for the variety you picked (breakfast, lunch, and dessert) and
takes you thereby driving automatic or manual. The Model 3 exceeded over 1
million vehicles sold in 2021. And overall Tesla has roughly sold 765,000 cars in
2021 this only increasing as days go by which then compared to Toyota with over 9
million vehicles sold and also the fact that Tesla is considered one of the fastest-
growing car companies in the world this is because Tesla stock prices are so high
compared to any other car company out there. After all, customers began to
believe that electric mobility vehicles are the future and that Tesla is the leading
electric car manufacturing that is going to carry out the major sustainable future for
mobility vehicles Tesla is growing so fast that its competitor Toyota has 250.99bn in
market capitalization which compared to Tesla's market capitalization which is
triple its numbers with 756,19bn. Which is mind-blowing. Tesla was originally going to get sold
by google at 11bn, however, tesla didn’t take the opportunity. And is now a billionaire electric
car company. As well as being considered by many as ‘one the best electric car manufacturer
company in the world and then went on to reshape the influence of newly built vehicles.
Tesla is also affected by the CSR effect. Tesla is exemplary in its Corporate Social Responsibility
strategy. It prioritises communities, customers, and employees over investors and government.
Tesla's extensive corporate social responsibility (CSR) strategy includes focusing on the safety of
both employees and consumers, supporting a diverse work environment, sourcing responsibly
produced materials and contributing to education. The strategy is manifested in the fact that
the company's mission is not to maximise profit but to make electric cars affordable. Tesla
believes all businesses within their supply chain have a responsibility to share our respect for
human rights. Tesla’s human rights policy is the formalisation of their commitment to uphold
and respect these rights and the values they represent as part of a social responsibility.
A1: CSR issues and the impact on stakeholders
