The role of corporate social responsibility on enhancing corporate reputation a case of Statoil Tanzania

Generally this study assesses the role of CSR in enhancing corporate reputation. Specifically the study was set to examine the influence of Statoil's compliance with local content on corporate reputation, to assess the role of Statoil's engagement in environmental conservation undertakings in Mtwara in influencing corporate reputation and lastly to examine the impact of Statoil engagement in capacity building to corporate reputation. The study gathered data through the use of documentary review, In-depth interview and focus group discussion. However the study employed case study strategy whereby Statoil was selected to assess the role of CSR activities enhancing corporate reputation. The sample size used was 25 respondents which involved the public, government officials and Statoil who provided information that was useful to answer the research questions of this study. Key findings from the study show that Statoil has been complying with the local content as it has been outsourcing within the catchment area, providing employment for the local and collaborating with the government in conducting CSR activities within the area and Tanzania in general, but also it has been engaging in environmental conservation activities through submitting EIA reports to NEMC and engaging in environmental workshops prepared by the government. Lastly it has been improving capacity building of locals through provision of scholarships and employee satisfaction. From all the findings it shows that CSR activities conducted by Statoil have played a major role in Statoil’s reputation through public perception and Statoil’s business sustainability. From the findings, the study recommends that regular meetings should be conducted in each village in Mtwara so as to reduce information gap to the public, It is also recommended that government should establish a law guiding all CSR activities that should be undertaken by companies that have invested in Tanzania and lastly other companies should learn from Statoil by engaging in CSR activities that create long lasting benefit to the society. Nevertheless, further research should consider comparative study between Industries and their conduction of CSR such as manufacturing industry and extractive industry, should also consider using a different research methodology so as to complete the research gap in a different manner