Project Paper:

Instruction:

I) In order to perform writing on chapter 4 and 5, you need to provide questionnaire for this project papers (Refer to Dependent Variable and Independent Variable (IV) in chapter 2). The questionnaire must be in google form format and should be attached in the appendix. The results of the questionnaire must be summarized in the appendix. This result then needs to be analyse using SPSS.

II) Chapter 1 -3 has been completed. With reference to Chapter 1-3, you must continue writing the project paper on chapter Four (4) and Chapter Five (5).

III) The paper should link to whatever that has been written in chapter 1, 2 and 3. Below are mandatory contents need to write on these chapters:

Chapter 4: Analysis and Findings

4.0 Introduction

4.1 Data Collection

4.2 Data screening

4.3 Descriptive analysis

4.4 Reliability Test

4.5 Inferential Statistics

4.6 Method #3 Must add this method and write summary in chapter 3.9

4.7 Method #4 Must add this method and write summary in chapter 3.9

**Note: Under chapter 4. Analysis and Findings should use SPSS. All graphs and tables obtained from the analysis using SPSS must attach in this chapter.

Chapter 5: Discussion and Conclusion

5.1 Recapitulation of study

5.2 Characteristics of the sample

5.3 Summary of Findings

5.4 Discussion

5.5 Implication of Study

5.6 Limitatation and Suggestions for Future Research

5.7 Conclusions

Appendix:

List of questionnaire Screenshot from google form.

**Note: All references must be in APA format.

TITLE: IMPACT OF CSR ACTIVITIES IN CORPORATE REPUTATION IN FMCG INDUSTRY

TABLE OF CONTENT

1.1.BACKGROUND OF STUDY

1.2.PROBLEM STATEMENT

1.3.RESEARCH QUESTIONS

1.4.RESEARCH OBJECTIVES

1.5.SCOPE OF STUDY

1.6.SIGNIFICANCE OF STUDY

1.7.DEFINITION OF TERMS

1.8.ORGANIZATION OF THESIS

1.9.CHAPTER SUMMARY

2.1 INTRODUCTION

2.2 FMCG INDUSTRY: AN OVERVIEW

2.3 Dependent variable (DV) Corporate reputation

2.4 Independent variable 1 (IV1) CSR Objectives

2.5 Independent variable 2 (IV2) Corporate communication

2.6 Independent variable 3 (IV3) Brand Equity

2.7 Independent variable 4 (IV4) Corporate Governance

2.8 Relationship of CSR Objectives to Corporate Reputation (IV1 and DV)

2.9 Relationships betweenCorporate Communication to Corporate Reputation (IV2 & DV)

2.10 Relationships between Brand Equity to Corporate Reputation (IV3 and DV)

2.11 Relationships between Corporate Governance to Corporate Reputation (IV4 and DV)

2.12UNDERPINNING THEORY

2.13 SUMMARY

3.1 INTRODUCTION

3.2 REASEARCH PHILOSOPHY

3.3 RESEARCH DESIGN

3.4 POPULATION AND SAMPLE

3.5 INSTRUMENT AND MEASUREMENTS

3.6 VALIDITY AND RELIABILITY

3.7 PRE AND PILOT TESTS

3.8 DATA COLLECTION PROCEDURES

3.9 DATA ANALSYSIS

3.10 CHAPTER SUMMARY

References

Appendices: Concept Mapping

CHAPTER ONE

INTRODUCTION

1.1.BACKGROUND OF STUDY

Even though businesses and companies are created to solve problems or provide goods and services in the society where a gap exists, the process of solving these problems, operations and providing goods and services might affect the society or the environment in one way or another. Therefore, Corporate Social Responsibility was introduced as a management concept for business entities to integrate social environmental concerns within their operational structures and relationships with stakeholders.

We cannot talk about CSR in corporate world without talking about corporate governance. The two seek to balance each other on the context that Corporate Governance protects the interests of the shareholders in the company; which is usually adding value to their investment. While Corporate Social Responsibility seeks to look into the social and environmental impacts the operation of the entity might cause on the society, to shareholders, this is viewed as a cost on their investment and must be balanced in order to maintain operational equilibrium in the market.

Social responsibility is an important concept that has become an important research area in current business environment due its efficiency to manage risks and costs associated with the brand (Aji, Nadhila & Sanny, 2020).

Cuesta?Valio, Rodrguez & Nez?Barriopedro(2019) stated that CSR initiatives are popular for representing the responsibility of the brand towards society where following employee efficiency and transparency in operations, the brand value can be generated. Corporate social responsibility helps in creating a bridge between the trust gap between government, stakeholders, employees, suppliers, customers and investors. Therefore, the investigation will be done on the analysing the impact of CSR activities to corporate reputation in FMCG industry.

Corporate Social Responsibility Role on Brand Image

In corporate world, the most important factor to both the stakeholders and the shareholders is ability to sustainably grow value of their investment and maintain a sustainable brand that guarantees the shareholders of their investment. CSR therefore does not come in as an important factor but plays a key role in building the brand reputation of the corporation to the society they operate in. This increases chances of wide acceptance by the target market hance a form of marketing.

A superior image brand, especially in the case of Fast-Moving Consumer goods where products from different entities are similar but are simply branded to attract the target customers, plays a big role in increasing sales and customer base. Customers are most likely to associate themselves with a brand that seems to care about their social issues. It is important to note that Fast-moving consumer companies need high volumes of sales on a daily basis consistently to maintain investment value and be profit viable.

CSR based marketing approaches have become quite popular over the past few years due to its increasing involvement in motivating the employees as well as customers. Dostet al., (2019) stated that CSR marketing initiatives have become quite popular in terms of driving the mindset of people towards a brand.

Edirisuriya, Sandamali & Rupasinghe(2017) stated that Growing CSR based practices are increasing the brand transparency and customers are getting informed about the ethical values of the company, which is indirectly helping in increasing the interest of them towards the brand.Therefore, in order to narrow down the topic area the proposed topic will be how CSR marketing activities affect corporate reputation.

1.2.PROBLEM STATEMENT

The operations and production processes of the various companies engaged in fast moving consumer goods creates various issues in the society. This ranges from environmental issues associated with the production process, resource acquiring, energy consumption, waste disposal and the aftermath of the products involved. All these issues can create compliance problems with the regulatory bodies and the government thus affecting the brand image. The Reputation of the company determines the credibility of the company in the eye of the society which is the target consumer and customer. This can jeopardize the profitability of the entity and the ability of the company to increase value of their investment.

To be able to curb these issues and maintain brand reputation for corporations in the market, CSR under business ethics and responsiveness to societys stakeholders came in to balance both the interest of the society while ensuring the interest of the company which is profitability is still maintained. This has been balanced successfully with the help of the concept of corporate governance that primarily takes care of the shareholder value addition and growth(Dalla-Pria and Rodrguez-de-Dios, 2022).

There is tremendous potential in CSR activities and the concept was meant to enhance the company vision by being competitive in the market while protecting the interest of the stakeholders. This research proposal therefore evaluates the possible impacts of the CSR activities on the brand reputation of various fast moving consumer goods in the scope of Malaysian market.

CSR based marketing approaches have started impacting on the corporate reputation in FMCG industry over the past few years. The customer perception has started getting influenced based on the CSR initiatives taken by the brands, which has indirectly made impact on the corporate reputation building process.

1.3.RESEARCH QUESTIONS

1. How CSR marketing activities affect corporate reputation in FMCG industry?
2. What role does customer perception play towards the reputation of a brand in FMCG industry?
3. How does corporate governance influence CSR activities towards corporate reputation in FCMG industries?
4. What is the effective CSR based marketing approaches for improving corporate reputation in FMCG industry?

1.4.RESEARCH OBJECTIVES

1. To determine how the CSR activities affect corporate reputation in FMCG Industry.

Specific Objectives.

1. To assess how Corporate Governance influences CSR towards good corporate reputation in FMCG.
2. To find out the role of a customer perception towards corporate reputation.
3. To find out the CSR based marketing approaches applied by corporations in FMCG industries to improve corporate reputation.

1.5.SCOPE OF STUDY

Scope of this study will focus on population in Malaysia specifically in central region such as Klang Valley which has high high purchase intention. The population sample age will be between 24 to 60 years old which targeted for working adults which earning stable income. But the scope of study not limited to just age whereby some of the working adults may not have stable income. In this case both age and income is important to determine the factor that can influence their thoughts in organization of their CSR activities.

1.6.SIGNIFICANCE OF STUDY

Social responsibility is one way of motivating stakeholders and shareholders on working to improve the output of a company. This also helps improve customer retention and loyalty among its workers. The ability of workers to understand each other and relate well in an organization helps improve their relationship. Corporate reputation helps brand the organization and promote equity.CSR concept though has gained milestones in the developed economies, its potential advantages or benefits to corporations in developing economies such as Malaysia is still underexploited. Though this concept was meant to diversify the objectives of business entities in the society through a higher calling other than just making profit and creating wealth for the investors, it has now become a potential marketing strategy for the corporations to gain competitive advantage in the market.

1.7.DEFINITION OF TERMS

1.8.ORGANIZATION OF THESIS

This Research proposal starts with a background study in chapter one that gives us an insight into the topic being under research. Here the topic under study is introduced and the covers the problem under this topic

The study content progresses to the problem statement which validates the need for conducting the study, how is it of importance. This is followed by Research questions, here the study is narrowed down to a few questions that the research process seeks to answer. The study then flows to an outline of the research objectives; which are categorized into one general objective and three specific objectives.

Terms are then defined after which the organization of thesis followed by chapter summary concludes chapter one.

The research proposal then flows to chapter two which covers literature review, which has critically analyzed the various literature and previous research articles related to our topic of study. This is done in the context of independent and dependent variables as their relationships are also analyzed progressively. This chapter flows to the underpinning theory evaluation and concludes with the important literature gap and hypothesis of the study.

Chapter three marks the end of this research proposal and sets straight the research methodology applied in the proposed study. Here research philosophy and research design are discussed and highlighted. This is followed by evaluation of the population and sample of study, Instruments and measurement methods used, validation of the methods. Pre and pilot tests are then considered for the efficiency of the data collection tools and methods.

This chapter is then concluded by data collection procedures outline and data analysis tools and procedures as well as methods.

1.9.CHAPTER SUMMARY

This chapter entails of the introduction to the impact of CSR Activities in Corporate Reputation in FMCG industry. It entails the role of shareholders in maintaining the investment of the company and ensuring that the company does its investment well. This creates a good brand image for the company. The significance of having social responsibility in a company helps improve the brand of the company.

CHAPTER TWO

LITERATURE REVIEW

2.1 INTRODUCTION

The purpose of this section is to critically consider different literature associated with the CSR activities and brand reputation. In this section, sharing various arguments associated with the topic area, the researcher has tries to provide initial idea on the topic area.

2.2 FMCG INDUSTRY: AN OVERVIEW

FMCG stands for Fast Moving Consumer Goods and is also often regarded as Consumer-Packaged Goods (CPG). These goods are the ones that are sold at relatively low cost such as grocery items, soft drinks, toiletries etc. Some of the global industry leaders in the FMCG segment are Nestle, Kelloggs, Jognson, Colgate-Palmolive, Unilever, PepsiCo etc. Mustaffa et al. (2021) have claimed that the FMCG industry is one of the most important industries in Malaysia as of the fact that it aids notably to the total GDP (5%) of the country. This industry is highly responsible for the manufacturing process of the essential services and products. Also, as per the recent data from the Malaysian stock exchange, the businesses under the FMCG industry count about 17% of the equity available in the market capitalization of the country (Sun et al., 2021). It is to mention that with the passage of time, the Malaysian FMCG industry has undergone myriad of challenged. For instance, after the 2016 recession, the country faced a fall in the consumer buying power. One of the problems that many FMCG companies in Malaysia have faced is the issue of volatility, which caused many to lay off the staffs and impose forced leave without pay. With the same, Covid-19 again took a toll on this market after its wake in 2019.

According to the recent reports by Abdullah (2019), about one-fifth of the expenditures in terms of Malaysian household consumption is spent on the FMCG segment. With the increase in the spending power as well as the population size, the FMCG market in Malaysia is likely to increase each year. Such a robustness of this sector was evident in the pandemic. In terms of marketing, it is to mention that as the FMCG products are very low priced and there are a lot of brands that are involved in the production and manufacturing process of the products from same categories, projecting a special place in the minds of the customers becomes difficult (Faith, 2018). For this reason, the marketers need to think of new and special ways for attracting the customers towards these products notwithstanding whether the economy blooms or is in normal economic situations. For this reason, during recissions, it becomes more difficult. Some marketers reduce the investments upon brand during recission and this weakens brands equity and can negatively influence the value of the shareholder. For instance, Dove came out with Real Beauty Campaign for promoting its brand value during the time when it was suffering (Argenti, 2021).

2.3 Dependent variable (DV) Corporate reputation

Attaining the successful business results need many managerial and organizational competencies, which take advantage of the market opportunities. The vitality of reputation in management and marketing research is evident from the increasing number of publications that deal with this particular topic. According to Bianchi, Bruno and Sarabia-Sanchez (2019), corporate reputation refers to the overall quality of the footprint of a brand across different channels of communication as well as each and every section of the target audience.

The reputation of a company is cultivated with the passage of time and Leal Filho et al. (2019) have defined it to be the total sum of the ways in which the external and internal stakeholders think and feel regarding a brand. In other words, reputation shapes the way people interact with the business.

As per Kim and Thapa (2018), there are certain factors that influence a companys reputation and they are ethical behaviour, executive leadership, social responsibility, online presence, customer focus, service quality and workplace culture. Kim and Thapa (2018) have defined corporate reputation as what a customer thinks about a company. It can further be explicated in nature for the determination of the corporate reputation by means of the actions of a company. Actions like such can be the implementation of marketing mix.

Corporate reputation of a company is very important since it drives the brands interaction (Lu et al., 2019). It helps in determining the position of the company within its industry as well as in the overall market. The stakeholders make use of reputation for gauging the strengths, scrutinizing the weaknesses and deciding how and where they must go with their business. Negative company reputation makes attracting new customers very hard. Also, it makes building customer loyalty and finding out the talents that one need for innovating and managing effective operation, harder. According to Fatmawati and Fauzan (2021), positive corporate reputation helps in embodying integrity and generating the trust among customers while strengthening ones presence within its industry, both offline and online. Also, it appeals to great job candidates while improving employee retainment.

Management of corporate reputation needs strategic orientation, which maintains and establishes the desired positioning for the companies. It is vital since it has the ability to influence the performance of organisations. In the current multichannel world, customers seek information from different source types for guiding their buying decisions.

It means that the businesses, which are highly visible within the first page of the search results and also on the social media platforms have the chances of enjoying natural advantage. Reputation marketing has become an emerging thing that helps a lot in building corporate reputation. With the help of reputation marketing, one can make use of social media comments, reviews and the customer feedbacks in the ways that increase the performance of the search engine, the levels of customer engagement as well as the social media strategy.

2.4 Independent variable 1 (IV1) CSR Objectives

Byerly (2018) has defined CSR (Corporate Social Responsibility) as the process in which a company thinks about and develops its relationship with the stakeholders for a common good. The broadest definition of CSR is related to the relation of governments, citizens and the global companies. In other words, it is concerned with the relation between the local society and corporation in which it operates. It is the way of conducting business through which the business entities visibly aid to the social betterment. The companies that are socially responsible make use of CSR for integrating the economic, social and environmental objectives with the growth and operations of the company.

According to Jernigan and Ross (2020), the CSR activities are important to and even expected by the common public. Also, it is to note that all the CSR activities are monitored throughout the world. These activities help the companies in hiring and retaining the people that they want. The activities aid to the performance of the business.

The principles of CSR practices at business enterprise level signify the basis on which a companys social, environmental, economic and the stakeholder approaches are dependent. While the underlying objective of CSR is for advancing a particular cause, which benefits the society. Strategically developed and the CSR programs that are properly implemented could directly improve and enhance the ability of a brand in creating and maintaining a positive image within the marketplace of the customers. As discussed above, the actual identity is known as corporate identity and the perceived identity of the stakeholders is known as corporate reputation. In this way, the external stakeholders of the company perceive the company.

2.5 Independent variable 2 (IV2) Corporate communication

The concept of marketing communication has been defined as the act of sharing information, meanings and concepts regarding services and products as well as the company that sell them by Chen et al. (2018). Ebrahim (2020) in this context have opined that marketing communication is referred to as the targeted interaction with the consumers and the prospects, making use of one or more media like newspapers, direct mail, television, billboards, magazines, radio and telemarketing. It is an important part of marketing mix, which is the 4Ps of marketing- Price, Place, Product and Promotion. Prior to when a product is positioned within the customers mind, awareness needs to be created by means of promotion mix to an extent that the customers develop positive attitudes regarding the service or product as well as the selling firm, which might lead to a sale. From the view point of marketing, the promotion mix or communication has the potential of attaining the below mentioned functions:

1. a)Information- it is this stage, which is also known as the introductory stage of a product, when it is newly introduced into the market and the firm tries to develop primary demand.
2. b)Persuasion-once primary demand is developed, the commercial communication could focus on the persuasion in the struggle for the brand supremacy. Selective demand for the branded product of a seller might be built by means of brand names, repetition, emotional appeals, identification of package as well as some similar devices (Becker, Weigand & Reinartz, 2019). This is usually done during the growth stage within a product life cycle.
3. c)Combined promotional information and persuasion- The product sellers combine all the persuasion and information within their promotion message in an attempt for expanding the selective and primary demands. This takes place when a product is in its stage of maturity or decline within the product life cycle.

The contemporary firms are required to manage complicated system of marketing communication where the company needs to make use of its communication mix in terms of sales promotion, advertising, personal selling and publicity for disseminating the marketing and corporate information, to the members of its distribution channel, the customers as well as the other publics (Gunawan & Sushilo, 2021).

2.6 Independent variable 3 (IV3) Brand Equity

Perception refers to the process by means of which people choose, organize and understand the sensations, that is, the immediate response of the sensory receptors like ears, nose, eyes, fingers and mouth for basic stimuli like odour, light, sound and texture (Tien, 2020).

The perception process goes through a total of three stages- exposure, attention and interpretation. Exposure takes place when the individuals deliberately or accidently come in contact with the environment stimuli.Attention on the other hand is all about allocating mental capacity to a task or stimulus. Finally, the concept of sensation refers to the responses of the sensory receptors towards the environmental stimuli. It also includes the transfer of information to brain cell through nervous system. In contemporary world, one of the biggest issues that firms face is the quality of image that their products project to the public.

Consumer perceptions are important for the marketers and they often show the failure or success of the products in the marketplace (Kamal, Afridi & Hashim, 2020). One of the key reasons for which the companies engage in the socially responsible behaviour is the financial profit that could come from it. The firms that engage in the socially responsible behaviour depict long-lasting financial gains and increase the value. A good exploration of CSR and its relation to the identity of firms is further complicated by the fact that thinking within this domain yields a range of identities. Almeida and Coelho (2019) have argued for a difference among the objective and actual identity of a firm and that of the perceived identity of the same by the stakeholders.

2.7 Independent variable 4 (IV4) Corporate Governance

Many companies are paying attention towards the economic environment which relates to Corporate Social Responsibility (CSR) which directly led them to improve corporate governance especially in stakeholder perspective. Corporate governance comes out as a strong factor that balances the interests of csr strategies in conjunction to the objectives of a business entity. Corporate governance stands for a system of strategies, policies and regulations that guide and dictate the management of an organization by the executing officials. It seeks to standardize the process of executing strategies which ensures a balance of interests of the shareholders, the society, management, the government and other stakeholders(The Effect of Fraud Disclosure, Internal Control, Information Technology on Corporate Governance and Corporate Performance as Moderating Variable, 2020).

Besides that, organization capacity to manage the relationships with stakeholders is a driver of sustainable development in the long-run and a basis for a long-lasting competitive advantage, supported by the creation of a win-win situation for company, stakeholders, and society (Elkington, 1994; Kolk & Pinkse, 2007; Dima, 2008). CSR is a choice where it positively associated with governance characteristic which also includes the board independence. It entails a range of instruments that ensure effective running of the entity, from Internal control measures, organizational Action plans and performance measurement protocols.

Corporate governance therefore ensures that the entity remains aligned to its objectives, hence ensuring profitability. This relates to CSR in that it creates stability and sustainability in an entitys business viability as it also guides the CSR activities that the firm chooses to engage in depending on what the entity aims to achieve from the CSR engagement.

2.8 Relationship of CSR Objectives to Corporate Reputation (IV1 and DV)

In every business context corporate social responsibility, corporate social responsibility activities have become an important strategic marketing tool that helps in meeting the expectations of the company. Joshi (2019) stated that in order to build attractive participation of customers and building higher brand equity, the corporate social responsibility can help in determining effective marketing behaviour that can indirectly help in building the image of the brand. CSR activities are important for building the ethical, regulatory and economic benefits for the company that helps in developing strong image in the market.

Kamal, Afridi & Hashim (2020) supported the above statement and stated thatin consideration to the CSR activities, it has been found that with increasing transparency in the communication and information sharing process it helps in improving the social impact management process. It can help in addressing the civil society strengthening process that can indirectly concentrate towards addressing the social responsibility related requirement.

Kontesa, Brahmana & Memarista(2020) also stated that The corporate social responsibility activities can also concentrate on rising awareness of the customers about the brand that helps in influencing decision making process of them. Over past few years major changes have been seen in the business environment. In special consideration to the FMCG industry, it has been found that the CSR activities are important for undertaking environmental and economic transformation within the organization, which indirectly impacts on the corporate reputation.

In special consideration to the ethical framework, legal aspect, economic and environmental benefits associated with the local community and planet, the responsible behaviour of the brand can get reflected (Lee, 2019). It is typically associated with the brand equity and CSR strategies are quite effective in terms of aligning the organizational setting with its desired image in the market.

Therefore, CSR based initiatives can help in generating interest of the customers towards the brand. The CSR initiatives are highly associated with the economy, ethics and philanthropy, where the process of conversion from the brand reputation to brand equity gets included. Social responsibilities also allow the organization to nurture asset that also includes the good will, good reputation and trust (Mahmood & Haider, 2020). The CSR also impacts on the profit margin within the organization that not only increases the sales growth of the company but also it impacts on the promotional behaviour of the brand.

2.9 Relationships betweenCorporate Communication to Corporate Reputation (IV2 & DV)

Corporate communication can be defined as important strategic approach in terms of promoting significant brand value. Mohammed & Rashid, (2018) stated that Depending on the marketing and communication approaches, the company can successfully move the product and services in the market. It helps in building trust as well as interaction between the customers and the brand. In consideration to the FMCG industry, it has been found that in order to build relationship and maintaining customers trust, utilizing different corporate or marketing communication tool the companies develop relationship with the customers (Nozari, Szmelter-Jarosz & Ghahremani-Nahr, 2021). The section has been designed for establishing the relationship.

Corporate communication is also quite important for managing the brand popularity in the market. In current scenario, considering both online and offline platforms, the companies develop products in the market that helps in managing the high brand visibility in the market. Right information in communication especially in marketing can also help in increasing the value of the brand and repeated advertising in the market that can help in increasing brand existence in online and offline platforms. As its impact the companies get popularity in the market which helps in strengthening the brand image.

In the words of Palacios-Florencioet al., (2018) Corporate value also gets generated based on effective marketing and communication approach. The corporate communication process is also quite effective for representing the brand functionality. In order to promote the CSR activities, following effective marketing communication techniques, the brand can get opportunity to improve the social image (Sanclemente-Tllez, 2017). In the contradiction of above statement Shabbir e al., (2018) stated thatStrong ethical and social framework can be promoted through effective marketing technique. As its impact building moral and ethical image of the brand, the corporate value can get improved, which can indirectly concentrate towards generating higher brand value.

According to Tien (2020), corporate communication is also important for establishing unique position of the company in the market. By supporting above statement Vincent & MR, (2020) stated that Depending on the effective communication approach, the company can promote the socially responsible behaviour to the customers. This can help the brand to generate unique value in the market among the competitors. Using different new marketing initiatives, the high brand awareness be promoted that can help the company to establish unique position.

Wood (2018) opined that corporate communication within the brand can also help in establishing strong customer relationship management process. Depending on the approaches the company can successfully promote exceptional experience to the customers that can help them to trust on the brand. By typicallyunderstanding the life cycle of the customers and communication brings meaningful impact in their life through effective interaction (Zahari et al., 2020). Therefore, in order to promote socially responsible behaviour, the companies can utilize the customer relationship management as an important component associated with marketing which can help in establishing strong brand image.

2.10 Relationships between Brand Equity to Corporate Reputation (IV3 and DV)

In current complex business environment understanding the customer perception has become one of the major responsibilities in order to ensure brand reputation. Wood (2018) opined thatDepending on the initiatives taken by the companies, the corporate value and moral behaviours of the brand can get reflected. The customer perception also gets improved based on the trust building process and commitments made by the companies towards the community development process. Based on the efforts done by the organizations towards the social and environmental wellbeing, the mind set of the customers towards the brand gets influenced.

Kontesa, Brahmana & Memarista(2020) also stated that In consideration to the FMCG industry, it has been found that building strong customer reputation it is very important for the organizations to provide effective economic and social benefits to the customers through the products and services so that the customers trust towards the company gets increased. In current scenario, people have become environmentally responsible, and this is an important factor which is making major impact on the customer perception towards corporate reputation. In continuation of the discussion, it has been found that depending on personal experiences that are being offered to the individuals, the perception of the customers gets affected.

Kamal, Afridi & Hashim (2020) supported the above statement and stated thatIn the consideration of Corporate social responsibility related activities, it has been found that sharing caring and responsible image towards the community development, the brands can successfully establish trustworthy image in the market, which helps in improving the perception of customers towards the brand. As its impact the brand reputation gets improved.

2.11 Relationships between Corporate Governance to Corporate Reputation (IV4 and DV)

In a business entity, corporate governance system is aimed at protecting the interest of the investors which is usually maximizing on the growth of the brand and its business sphere as well as creating sustainable business culture for growth. An entitys confidence within the capital markets is critical in maintaining a sustainable growth in its value. A business entity or corporate will achieve a competitive advantage over its rivals if it successfully implements strategies of sustainable and progressive value creation that is not accessible or known to its competitors in the market (Lang AG, 2019). This continuous, progressive and sustainable value creation can only be achieved if the organization has strong and effective corporation governance (Mayer, 2012).

This means that good company or brand reputation cannot be created if the company does not possess strong internal control mechanisms associated to sound corporate governance. Therefore, the first step towards achieving goop company or brand reputation is ensuring effective corporate governance and demonstration of good corporate citizenship through CSR activities. For example, subscription to environmental and sustainability awareness culture, strong ethical standards and behaviors and efficiency-driven practices.

2.12UNDERPINNING THEORY

Of the driving forces conceptualizing Corporate Social responsibility, Stakeholder theory stands firm as the number one driving force of the aspect of CSR in conjunction with corporate governance and maintaining sustainability in an organization (Ashrafi et al., 2020). Here we discuss various definitions of the corporate social responsibility (CSR) paradigm and its associated terms.

The CSR phenomenon has resulted from a variety of theories and approaches. Furthermore, globalization may have exacerbated the complexities surrounding CSR issues in a variety of contexts (Ashrafi et al., 2020).

The concept of corporate social responsibility, along with related concepts such as the Resource based theory,and Stakeholder theory, opens the door to a new type of business ethics. Morality in the economic world now entails corporate directors sensing and responding to a wide range of obligations, ones that extend beyond the town where the business is located, out into surrounding communities, and throughout society as a whole (Camilleri, 2016).

1. Freeman, (1984), mentioned that stakeholder theory is the foundation of all the criteria in identifying the reason organization need to work on being socially responsible. According to Schneider, (2015), to enable firms to successfully deal with CSR, stakeholders need to participate in sustainability accounting and management whereby it introduce Accounting for Sustainability and Stakeholders, putting stakeholders at the center of accounting framework. Soderstrom et al., (2017), shows the important of stakeholders in term of power over managerial decision making not only direct decision making, but also interactions among stakeholders and how these interactions affect the decision made.

The engagement with stakeholders is very critical especially in climate resilient in developing appropriate strategies considering all relevant aspects. Result optimization will be based on increasing the value of stakeholders expectation. This has become a pre-requisite to engage stakeholders actively in nurturing the prosperous circles, which based on the joint relations among resources, achievements and mutual understanding considering the risk factors which can affect the firms performance as well as the ever-changing complexity of direct and mediated relationship between markets and the firm (Salvioni, 2018).

The relationship between these theoretical concepts are best viewed through the diagram below:

2.13 SUMMARY

In summarization of the above findings, it has been found that using viewpoints from different researchers the relationship between the depend and in dependent variables have been established. Considering the statements shared in different literature, considering the arguments, it has been proved that there is strong significance of CSR approaches in order to establish strong corporate reputation.

In the context of business ethics, CSR initiatives are critical, several findings have piqued the interest of Socially responsible practitioners and scholars in the last 57 years. Among these are studies that claim CSR activities provide "insurance-like" protection. When negative events occur, CSR activities have an impact on not only sales but also growth, as well as substantial effects on jobs and investment portfolios (Srivastava et al., 2017).

The social obligation view of CSR in developing economies should be the foundation of future research. It should identify the CSR pyramid, which includes four stages of CSR development: economic, legal, ethical, and philanthropic obligations, based on Bowen's (1953) book. It is also stated that "these four categories are neither mutually exclusive nor intended to depict a continuum with economic concerns on one end and social concerns on the other" Economic responsibility, in particular, implies that businesses are expected to provide goods and services that society requires and to sell them for a profit (Aguinis & Glavas, 2012). These levels of responsibility are as explained below:

• Legal responsibility entails companies adhering to societal laws and regulations.
• Ethical responsibility can be defined as societal expectations of businesses that go beyond the legal requirements.
• As the term "philanthropic responsibility" implies, these roles are entirely voluntary, and the decision to accept them is driven solely by a company's desire to participate in social roles that are not mandated, not required by law, and are not even generally expected of businesses in an ethical sense.

However, we are yet to reach the levels gained by the CSR concept as experienced in developed nations. The developing or upcoming economies have not yet widely explored the benefits that can be derived from CSR activities thus in itself becomes a gap. It can therefore be examined why the CSR concept is not widely explored by corporations in these economies (Gugler & Shi, 2009).

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 INTRODUCTION

This chapter highlights and widely discusses the various research designs, methods of data collection, scope of data collection as well as the area of study. Various techniques are applied in this chapter to determine study population, sampling the study group, method of obtaining data and the variables applicable in the research.

It is core to understand that this research aims to evaluate how activities associated with corporate social responsibility impact or influence corporate reputation in FMCG industry in Malaysia. To look into this, we must identify the FCMG companies that are actively engaging in CSR activities and strategies and interact with their customers randomly as will be determined by the study design. This study is unique in terms of its coverage as Malaysian economy is a developing and middle-class economy that has not fully embraced CSR culture.

3.2 REASEARCH PHILOSOPHY

In every study, the tools used to gather data depend heavily on the research objectives at hand (Galant & Cadez, 2017). For instance, researchers seeking to analyze census data will not incorporate interviews into their study. In most cases, the researcher will choose topics that rely on qualitative or quantitative techniques based on their talents, interests, and personalities (Cowan and Guzman, 2020). The choice between qualitative and quantitative research techniques depends on the assumptions underlying each set of tools. Since this study will use quantitative tools and techniques that emphasize counting and measuring, the researcher will adopt the positivism research philosophy. The positivism philosophy assumes that reality is fixed, directly measurable, and hence, made up of only one external reality.

Furthermore, since the positivism paradigm assumes a single and objective reality that can be impartially observed and measured using standardized instruments (Galant & Cadez, 2017), this study will follow the quantitative and deductive approaches. The quantitative approach is essential to accomplish the purpose of this study - to test theories and discover general principles on the association between CSR activities and corporate reputation. Also, the deductive approach will help the researcher in developing broad theories and assumptions on the link between CSR and corporate reputation, and then systematically testing their implications.

3.3 RESEARCH DESIGN

Since this study aims to test and explain the link between CSR activities and corporate reputation, we will adopt the descriptive research design because it is the most suitable. This research since is aiming to test the effectiveness of the CSR activities in building brand reputations in the context of FMCG industry, quantitative research as a primary approach is found to be most appropriate in evaluating the relationship of the variables involved as discussed in Chapter Two.

The descriptive research design is useful when the aim is to measure variables and describe characteristics or trends without altering the variables. The study aims to quantify the association between CSR activities and corporate reputation in Malaysia. To make the research more manageable and to draw more precise conclusions, the researcher will focus on consumers of FMCG products in Kuala Lumpur City.

Furthermore, the researcher will use the probability sampling technique to select the sample for use in this study. The Probability sampling technique is mainly used in quantitative studies because it allows the researcher to make strong statistical inferences about the population (Newman et al., 2020). The researcher will also rely on questionnaires in collecting data since they can be distributed online, by mail, or in person. The advantage of using questionnaires is that consistent data can be gathered from many people due to closed questions with limited options. Questionnaires allow the researcher to collect primary and cross-sectional data regarding first-hand experiences, characteristics, behaviours, and opinions by asking people directly (Martin, 2018).

To ensure that the data collected using the questionnaires is consistent, accurate, and unbiased, the researcher will operationalize the abstract concepts, like satisfaction and reputation, into measurable indicators. The questionnaire will adopt Likert scales to measure the abstract concepts. Additionally, to ensure reliability and validity, the researcher will use the same questions in the survey administered to all participants. Proposal of liker scales will in range of 1 to 6 as it will be avoided centre tendency from the participants.

3.4 POPULATION AND SAMPLE

Since we aim to widely use digital means for data collection, this research is focusing on participants in Klang Valley area, who are assumed to have interacted with FMCG products and the corporations involved in one way or another since most of these goods are basic for day-to-day use.

The city is chosen as the area focus of study due to the advantages and efficiency that come with the coverage of the internet and flow of information as well as access to media which will form our major tool during this research process. The most appropriate age group considered to be most appropriate for this study was also considered to be 24-60 years as they play an important role in actively choosing the products to be consumed in the household. Overall, this represents about 55% of the total population in Klang Valley. Besides this age range would represent the working adults who are earning stable income which will have higher tendency in purchasing and choosing products at grocery stores. The target sample population study was obtained through probability random sampling and consisted of about 100 consumer respondents.

3.5 INSTRUMENT AND MEASUREMENTS

The study will rely on categorical and quantitative data. Categorical data will be nominal (e.g. gender) or ordinal (e.g. income level), while quantitative data will be measured using an interval scale (e.g. corporate reputation) or ratio scale (e.g. age). The data will be collected using standardized questionnaires distributed to the survey participants.

3.6 VALIDITY AND RELIABILITY

To ensure that the data collected using the questionnaires is consistent, accurate, and unbiased, the researcher will operationalize the abstract concepts, like satisfaction and reputation, into measurable indicators. The questionnaire will adopt Likert scales to measure the abstract concepts. Additionally, to ensure reliability and validity, the researcher will use the same questions in the survey administered to all participants.

3.7 PRE AND PILOT TESTS

The study was first conducted per pilot studies to ensure that the questionnaires and surveys were well channeled towards answering the research questions. This also ensured that the study group would understand the needs of the study and respond constructively. After the first pilot study on a sample group with 50 participants, the questions were reviewed following the pilot results and responses received to sharpen these sets of questions and tests designed for the target study group. This ensured efficiency and smooth running of the study.

3.8 DATA COLLECTION PROCEDURES

The study will rely on questionnaires in collecting data since they can be distributed online, by mail, or in person. The advantage of using questionnaires is that consistent data can be gathered from many people due to closed questions with limited options (Martin, 2018). Questionnaires allow the researcher to collect primary and cross-sectional data regarding first-hand experiences, characteristics, behaviors, and opinions by asking people directly.

The questionnaires will be hosted on Google Forms and the link distributed through online forums, such as Facebook, Twitter and Linked. Furthermore, the questionnaires will consist of 20 closed-ended questions and distributed to various groups to ensure a high response rate. The study will not collect any personally identifying information from the participants except for demographic view as it will be essential to determine the relevancy of the data.

3.9 DATA ANALSYSIS

Reliability Test

The researcher incorporated the reliability test to measure scale reliability. When analyzing the reliability of data collected using scales, Cronbachs alpha is used to measure internal consistency. Cronbachs alpha for scale data was checked using IBM SPSS (version 26). The results would enable the researcher to demonstrate that the data is reliable to perform statistical tests.

Descriptive Statistics

The researcher will also conduct a descriptive statistics analysis to summarize and organize the characteristics of the data set. Descriptive statistics will enable the researcher to provide the frequency distribution, central tendency, and variability of the data collected using the variables of interest.

Inferential Statistics

While descriptive statistics allows a researcher to state the results of an analysis, inferential statistics allows for the conclusion and making general statements about the population (Zazzaro, 2021). Inferential statistics enables a researcher to reach conclusions that extend beyond the collected data. This study will utilize the t-test, Analysis of Variance (ANOVA), and regression analysis to make inferences about the population based on sample data.

The researcher will test for the statistical significance of the association between CSR activities and corporate reputation. In this study, the researcher will reject the null hypothesis, which states that CSR activities do not influence corporate reputation if the probability of a sample outcome is less than 5%. Furthermore, the t-test will be used to determine if there are statistically significant mean differences in the association of CSR activities and corporate reputation between men and women. The alpha value for the statistical significance and t-test is set to 0.05.

The study will use multiple regression analysis to test for the association between CSR activities and corporate reputation. In this study, corporate reputation will be considered as a dependent variable while variables measuring CSR activities will be considered independent variables which have been discussed in chapter 2. The multiple regression model is shown below:

CORPORATE REPUTATION =?₀+ ?_i(CSR ACTIVITIES),

Where ?₀represents the constant term and,

?_irepresents the effect size of each variable measuring CSR activities.

From the above regression modelling, we will be able to determine the impact from of the independent variable towards our research on the dependent variable which in this case is the corporate reputation.

3.10 CHAPTER SUMMARY

This research has applied various techniques, methods, and procedures that were feasibly applicable and effective to ensure the data collection is relevant, timely, and consistent. Various measures and mechanisms are put in place by the research design to ensure a high level of credibility of the research outcome.

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APPENDICES: CONCEPT MAPPING

IDEAS

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