MK7040 Marketing in the Digital Age and CSR

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MK7040 Marketing in the Digital Age and CSR 1 | P a g e
Table of Contents Introduction .............................................................................................................................. 3 Part 1: Create an effective Marketing Strategy in Digital Age ............................................ 3 Introduction ............................................................................................................................ 3 Part 2: In-depth evaluation of the effectiveness of digital marketing ................................. 5 Segmentation and targeting .................................................................................................... 5 Positioning and Branding ....................................................................................................... 6 Communication Strategy ........................................................................................................ 8 Part 3: CSR and Ethical Issues ............................................................................................. 10 Ethical Issues ........................................................................................................................ 10 Part 4: Conclusion .................................................................................................................. 13 Overall Conclusion ............................................................................................................... 13 References ............................................................................................................................... 14 2 | P a g e
Introduction Part 1: Create an effective Marketing Strategy in Digital Age Introduction The focus of this study will be on the multinational consumer goods company, Unilever. The present study investigates the product line of Walls Ice Cream. The principal aim of this study is to analyse the utilisation of digital marketing by Unilever. The study demonstrates Unilever's strategy in addressing ethical considerations, market segmentation, brand placement, and message formulation. The ethical implications of the company's online advertising practises will be comprehensively investigated. Background of the Company Unilever plc, a London-based corporation, is widely acknowledged worldwide for its production of high-quality consumer products. Unilever, a multinational corporation, engages in the production and global distribution of a diverse portfolio of consumer-packaged goods (CPGs). Unilever holds the distinction of being the foremost producer of soap globally, with its merchandise being distributed across over 190 nations. Unilever is accountable for a number of renowned brands, such as Lifebuoy, Dove, and Sunsilk. Unilever is recognised for its diverse range of popular products, including ice cream from Walls and laundry detergent from Omo/Persil ( Shariq et al., 2019). Unilever is a multinational corporation with diversified holdings in the food and beverage, home and personal care, and pet care sectors. Several countries, such as the United States, China, India, the Netherlands, and the United Kingdom, are currently experiencing a surge of novel and stimulating findings. Relevant data and statistics of the company Unilever was founded on September 2, 1929, when the British soap company Lever Brothers joined with the Dutch margarine company Margarine Unie. The company expanded internationally throughout the second half of the twentieth century, selling more than only oil and fat-based products. Through shrewd mergers and acquisitions, the corporation has grown substantially since its inception in 1971 ( Zuhdi et al., 2020). Lipton, Brooke Bond, Chesebrough-Ponds, Best Foods, Walls', Alberto-Culver, Dollar Shave Club, and Pukkha Herbs are just few of the stores where you may get these labels. The importance of Unilever to the FTSE 100 index is reflected in the company's presence in the index. 3 | P a g e
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Creating a proposed advertisement plan and medium of advertisement Online marketing will serve as the promotional medium. The mind map presented below serves as a valuable instrument for delineating the interrelated elements of a given plan, as exemplified by the advertising campaign of Ice Cream Walls ( Harisandi and Purwanto, 2022) Figure 1 Advertisement plan Source- McGuire, 2019 4 | P a g e
Part 2: In-depth evaluation of the effectiveness of digital marketing Segmentation and targeting In-depth critical evaluation of the chosen digital marketing communication Unilever will utilise digital advertising to showcase the diverse functionalities and attributes of its automobiles on the internet. Upon observing the efficacy of their 60-minute video graph during the Super Bowl, Unilever recognised the significance of allocating resources towards digital advertising. In contemporary times, conventional print media, such as flyers and newspaper advertising, have been largely replaced by digital media, including infographics and videos ( Anggrawan et al., 2022). Identify the main segment and target market The global market for ice cream wall has been segmented based on product type, distribution channel, and geographic region. The worldwide market for ice cream walls can be classified into three distinct categories, namely, those intended for immediate consumption, those intended for takeaway, and those crafted by skilled ice cream wall artisans. The global dairy market exhibits a relatively balanced demand for both conventional dairy products and non- dairy substitutes ( Gul et al., 2020). The majority of targets frequenting ice cream parlours fall within the age range of 16 to 30 years. The product has been found to have a wide appeal, as evidenced by its popularity among both customers in their forties and those in their tens. The preferred customer of the business possesses a salary that falls within the upper echelon of the middle class or exceeds it, and has a surplus of disposable income at their disposal. The implementation of strategies aimed at targeting budget-conscious middle-class families has led to a notable upsurge in sales ( Cuandra et al., 2022). Explanation regarding the suitability of the product for the targeted market Unilever's ice cream freezers are tailored to meet the distinct needs of individual customers. A viable strategy for small businesses to compete with larger corporations that have superior marketing and advertising capabilities is to obtain goods at discounted prices. Unilever's ability to distinguish itself from competitors is attributed to its exceptional personal and home care merchandise ( Ganyang, 2021). 5 | P a g e
Targeting strategy Unilever has redirected its focus towards the contemporary consumer and the global market with the aim of optimising operations and reducing expenses. Unilever UK has implemented a strategic approach that prioritises product design and digitalization to differentiate itself from its competitors. This is a useful resource as it provides a comprehensive explanation of the ingredients and procedures involved in the production of ice cream walls, thereby informing clients of what to expect. Individuals belonging to the middle and upper socioeconomic strata experience the highest quality of life and the most significant accumulation of financial resources within the nation ( Lieu et al., 2021). Positioning and Branding Assess the positioning and branding strategy Brand "positioning" refers to the process of creating a memorable association between a product and its intended audience. Threatening Unilever's Walls monopoly are local competitors providing cheaper alternatives to Unilever's goods. Unilever has invested much in marketing to ensure the continued success of its numerous product lines. about order to successfully market a product to a specific demographic, it is essential to be well-versed about the solutions provided by the competitors ( Qamar et al., 2019). Therefore, advertising and feedback from customers are two areas where Unilever focuses heavily. Different position which will be adopted by the brand A company's "competitive positioning" is its method for setting itself out from the competition. Unilever's success in gaining and retaining customers may be attributed to the high quality of its wares. Unilever has achieved or beyond its goals in all areas including price, quality, service, packaging, and distribution. Unilever claims that the goal of the current advertising campaign is to improve the product's image among customers ( Putri et al., 2022). The new advertising campaign corresponds with the first major redesign of Adam & Eve DDB in over ten years. The ads have gotten a lot funnier in a bid to modernise the company's image and win over younger consumers. The Twister could inquire, "Do you want to unwind?" when it's time to chill down. Even if the Cornetto's chocolate base has disappeared, the brand is still confident enough to say, "They have a great bottom." In both scenarios, the candy is having a mental discussion ( Khan and Rafiq, 2022). 6 | P a g e
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This weekend, a rush of activity across mobile, social, and outdoor media coincides with the debut of new television advertising. Cornetto, Twister, Solero, Calippo, and Funny Feet are just some of the products that will profit from the company's usage of the tagline "Goodbye Serious." Brand manager Jenny King of Unilever UK for Wall's ice cream claims that "everyone likes Wall's ice cream." They've begun a new initiative to aid the many anxious Britons ( Bhuiyan and Rahman, 2021). Positioning statement and positing map Walls's isn't just in it to sell yummy delicacies; they want to make the world a better place, too. Walls's is a corporation that is passionately committed to advancing social justice, racial harmony, and the protection of basic human rights in economically disadvantaged neighbourhoods. Figure 2 Positioning map of Ice cream walls Source- slideplayer.com, 2013 The company's digital advertising efforts, if successful, may boost output for Unilever. The company's unique digital advertising strategies have enabled it to demonstrate the worth of its heritage. However, Unilever's new advertising initiatives in the UK might give the corporation a leg up on the competition. Proof of the platform's worth comes from the fact that it has successfully implemented core advertising principles and enhanced digital interactions with prospective customers ( Narayanan and Das, 2022). The digital media channel was selected by Unilever because of its high concentration of prospective buyers. To 7 | P a g e
combat pollution and better the quality of life for consumers, Unilever has highlighted industrial innovations like the release of the first mass-produced organic ice cream. Differential strategy to create brand awareness online with justification Unilever aims to use pull marketing to promote their ice cream walls. In marketing, a "pull strategy" aims to interest and engage potential customers. It is crucial that customers place orders with channel partners so that providers are compelled to meet consumer demands. Unilever should use the pull strategy in this case. Unilever will need to maintain margins low in order to turn a profit despite the meteoric rise in sales. Now that they have this support, Unilever can sell their new brand publicly as a viable choice. It was suggested that a sizable number of people (70%) with bachelor's degrees or above be employed to take advantage of TV's low cost-per-contact and massive viewership ( Narayanan and Das, 2022). When low- income people are shown washing their clothing on camera in front of an audience, the slogan "Sun-light will make clothes sparkle" has a greater impact. The company has been pouring resources into digital advertising and other forms of online promotion in an effort to broaden its customer base and increase revenue. It doesn't adopt a pull approach since it doesn't know enough about its target market to modify its services to match the needs of that market. Therefore, Unilever is able to increase its R&D spending without having to suspend operations throughout the rebranding process. This type of promotion is morally sound since it informs consumers about the business's practises and the motivations behind its openness ( Etter et al., 2019). Communication Strategy Selection of the digital platform The digital customer communication of Unilever UK's marketing department is now limited to Facebook, Instagram, and YouTube platforms. Prospective clients have the opportunity to peruse the promotional material and gain further insight into the attributes and advantages of the merchandise by accessing the online platform of Unilever. The provision of visual information pertaining to a product may serve to reduce the duration of time allocated to perusing product descriptions. The computation of marketing return on investment (ROI) is widely recognised as a challenging task. The intended strategy is to target affluent individuals with a desire for ice cream through advertising ( Vogler and Eisenegger, 2021). 8 | P a g e
Communication through the key message The statement is primarily intended for the intended recipients to provide them with assurance that the food is both nutritious and palatable. Upon familiarising themselves with the company's professed commitment to various environmental and sustainability endeavours, readers will likely attain a more comprehensive understanding of the organization's overarching goal. Unilever asserts in its television advertisements that previously; individuals were required to be in close proximity to a physical store or a mobile ice cream vendor to satiate their craving for ice cream. Unilever established Ice Cream Now (ICNOW) with the aim of eliminating the need for consumers to differentiate between the two ( Troise and Camilleri, 2021). Irrespective of the mode of transportation, be it terrestrial, virtual, or aerial, the delivery of the package will be accomplished through a suitable means. Purpose of the communication The objective of this electronic communication is to delineate the measures that the sender's organisation will undertake to fulfil the requirements of the addressee. Clear and effective communication has been deemed essential by some to fully comprehend the commitment and initiative of the companies driving the transition in manufacturing. The marketing strategy of the company has undergone a transformation to align with the current scenario where customers unable to visit the physical store are compelled to resort to virtual platforms to gather information about the ice cream offerings ( Cheng et al., 2021). The underlying purpose of the communication, however, is to cater to the consumers' desire for increased investment in technology aimed at expediting production and streamlining procedures. Selection of the communication method Finding the optimal channel for communicating with your intended demographic is crucial for understanding their needs and wants. Walls' advertising campaign slogan is "sharing ice creams anytime, anywhere." The company's dedication to electronic communication channels is a major factor in this. Using a wide range of promotional methods, Walls's has established a loyal following among its consumers and supporters. The company's website should include all the information you need, such as what they sell, where to get it, and what they stand for. Events are also being planned to keep clients enthusiastic. Players compete to have their original recipes included as the game's selling point in the first major example of co-creation ( Lepore et al., 2022). Online images of 9 | P a g e
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customers eating Walls' ice cream are the second most common sort of illustration. The company spokesperson maintains a blog for this outlet's sister. His warmth and compassion are tremendous assets to the Walls brand, and his notoriety guarantees that his devotees will always be able to identify him. The band also has a sizable following on several social networking platforms. The amount of French Facebook page likes (almost 7 million), French Twitter followers (528), and French Instagram followers (972) all provide insight into its level of popularity in France. Walls's likely seeks to attract customers from a variety of cultural backgrounds, so it communicates with a unified brand voice across all of its platforms. The ice cream company Walls has started its social media marketing campaign by doing things like answering frequently asked questions, conducting an ice cream war, and challenging customers to complete a sentence using Walls' or one of its flavours ( Wenzel and Will, 2019). Online Value Proposition The Goodbye Serious campaign is set to promote the full range of the company's products, which encompasses Cornetto, Twister, Solero, Calippo, and Funny Feet. According to Jenny King, the individual in charge of the Wall brand at Unilever, the market size for Wall ice cream in the United Kingdom is significant. The advertisement aims to offer a chance for numerous individuals in Britain to briefly escape the more sombre aspects of life during the summer season through their latest promotional effort ( Nawaz, 2020). Part 3: CSR and Ethical Issues Ethical Issues Overall ethical of the organisation According to Unilever's Corporate Purpose, the company maintains that achieving prosperity necessitates upholding the highest standards of corporate conduct towards its employees, customers, and the broader society and global community in which it operates. This is acknowledged to be accurate by them also. Unilever frequently engages with the broader community across diverse contexts as a component of its corporate social responsibility endeavours ( Stawicka, 2021). The corporation is obligated to exercise a duty of care towards all of its stakeholders, including but not limited to employees, consumers, shareholders, suppliers, regulatory bodies, and members of the public. Unilever is committed to maintaining ethical standards in 10 | P a g e
all of its business transactions. A significant proportion of their decisions are based on their Code of Business Principles. In order to ensure the fulfilment of this commitment, greater specificity is required. Unilever operates as a decentralised corporation and encounters formidable competition within the worldwide marketplace ( Tuten, 2022). Their efforts are concentrated on fostering a sense of appreciation and value among the workforce. The ice cream wall product is produced using organic and ethically-sourced ingredients, with a focus on maximising benefits for the consumer. Critical assessment of the company's overall efforts in sustainability and ethical practices Generalising about Unilever's global operations presents a challenge due to the diverse cultural and socioeconomic backgrounds from which data on social performance is collected. Between 1999 and 2000, Unilever implemented a framework for the evaluation and management of corporate social responsibility (CSR) performance in over 25% of its global businesses. There is a growing demand among the public for Unilever to increase its societal contributions, enhance transparency regarding the impact of its operations on stakeholders, and promote the adoption of sustainable practises ( Camilleri, 2021). Consequently, Unilever undertook the inaugural worldwide social assessment of a corporation's corporate social responsibility strategy. Unilever is widely recognised for its reliability in the realm of consumer goods. The Unilever Compass is a corporate strategy that prioritises competitiveness, profitability, and social responsibility as key drivers of long-term success for the company. The interdependence of the well-being of our organisation and the adjacent community is evident. Unilever has formulated a comprehensive sustainability plan to assuage the concerns of its clientele and other stakeholders regarding issues such as climate change, plastic pollution, and economic inequality ( Pan et al., 2021). The collective endeavours of the personnel, subcontractors, and corporate affiliates of our organisation are yielding favourable outcomes for the global community while simultaneously enhancing our financial performance. Unilever, in commemoration of the ultimate year of the Unilever Sustainable Living Plan, orchestrated a celebratory event. Following the Covid-19 pandemic, Alan Jope, the CEO of Unilever, restated the company's dedication to promoting sustainable lifestyles as the standard for the global population of 8 billion individuals. This objective is to be achieved through fostering collaborative efforts aimed at addressing the socioeconomic inequalities and environmental challenges facing the world ( Panait et al., 2020). 11 | P a g e
During a worldwide virtual gathering, Alan Jope, the Chief Executive Officer of Unilever, expressed that the Unilever Sustainable Living Plan had a transformative impact on their enterprise. Although Unilever's endeavours have encountered varying degrees of success, the company's collective efforts have yielded advantageous outcomes for the corporate sphere. Unilever's current success can be attributed to the creative thinking, long hours, and collaborative efforts of its employees. Unilever has made significant progress, yet it still has further to advance in order to attain its maximum capability. The COVID-19 pandemic has exacerbated social inequality to a critical level, leading to the emergence of global tensions. Prior to the onset of the Covid-19 pandemic, societal pressures were already prevalent and persist to this day, disproportionately affecting the most vulnerable members of the population ( Gupta et al., 2021). The potential outcome of the climatic catastrophe could be a significant increase in the global population by several hundred million individuals. Identifying the issues involved The ethical implications of Unilever's corporate social responsibility initiatives and strategic determinations have been subject to scrutiny. The resolution of most legal disputes takes place at either the federal or state level. The occurrence of conflicts is notably impacted by plant closures and the resistance of workers. The successful management of Unilever's European operations has the potential to attract fresh investments and avert workforce reductions. The decision of Unilever to decline support for the proliferation of labour unions that have been democratically elected by its workforce has generated discord in certain areas. Unilever employs coercive tactics to induce its employees to join a union that is amenable to the company and has been established by the corporate leadership. As a result, the labour force has arrived at the determination that their sole recourse is to engage in a rebellion against Unilever ( Orbik and Zozuľaková, 2019). The relocation of production may lead to potential job losses in India, which could potentially result in social and political unrest within the country. Garden Reach Detergents, located in Calcutta, India, has initiated employee layoffs in anticipation of relocating to Bangladesh. Unilever achieved a new record in 2020 as its sales exceeded 50 billion Euros. The company disbursed a noteworthy dividend payout to its shareholders and achieved an operating profit of approximately 8 billion Euros. Both of these accomplishments have yet to be achieved. Consensus was reached among all parties involved that the subject in question was of exceptional quality. Increased financial resources would facilitate the implementation of 12 | P a g e
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environmentally sustainable packaging, elevated remuneration for employees, and a more efficient supply chain. The attainment of those objectives is contingent upon the availability of adequate financial resources ( Rasool et al., 2020). Regrettably, individuals exhibit a tendency to repeatedly engage in irrational behaviour. Certain employees of Unilever experienced an increase in their financial assets, whereas others observed a reduction in their monetary holdings. Recommendation on improving CSR practices There have been questions raised about Unilever's business and CSR practises. Most wars end up being resolved on a national or regional scale. Closing factories and worker protests have both contributed to a rise in recent conflicts. If the European branches of Unilever are better managed, they may be able to bring in new investors and avoid layoffs. The purposeful suppression of the growth of unions that have been lawfully elected by the company's employees is a source of conflict at Unilever in some regions. In order to get employees to support a union that is friendly to Unilever, management has resorted to threats and intimidation ( Bhuiyan and Rahman, 2021). With morale at an all-time low, some Unilever employees have started plotting a mutiny. The potential for social unrest in India due to the loss of industrial employment is real. In order to begin outsourcing, several workers at the Garden Reach detergents facility in Calcutta, India, were let go. In 2020, Unilever's sales hit a record high of 50 billion Euros. In addition to reporting an operating profit of almost 8 billion Euros, they also distributed a record dividend to their stockholders. Both of these feats are quite remarkable. Everyone agreed that it was fantastic. Increased revenue allows for better supply chain reliability, safer working conditions, higher compensation, and more eco-friendly packaging options. All of that could be done if sufficient resources were made accessible ( Narayanan and Das, 2022). It breaks my heart that so many people can't seem to grow from their errors. Some Unilever workers saw their wealth grow while others saw no change in their circumstances. Part 4: Conclusion Overall Conclusion According to the findings of the research, Unilever is an extremely valuable international firm that has a sizable presence in more than 190 countries throughout the globe. The correctness of the organization's projections is going to be a primary focus of the 13 | P a g e
digitalization programme that is being undertaken. The introduction of Microsoft's platform strategy aided in the smooth transition that Unilever was able to complete successfully. The cloud platform known as Azure developed by Microsoft has been positioned to take the lead role in the digital transformation initiatives being undertaken by the company. Because of this, people have the opportunity to learn from their experiences and grow as a direct result of these learnings. For them to be able to carry out their professional responsibilities in an efficient manner, it is essential for them to adopt a platform strategy. It would appear that Unilever has the intention of making a profit from this situation. Brand positioning is a strategic technique that is applied by companies in order to build a one-of-a-kind and distinguishable brand in the minds of their target audience in order to differentiate themselves from other firms in their industry. The methodical technique taken by a company to persuade potential customers of a product's value is referred to as its "brand positioning." Products sold under the Walls brand by Unilever are being challenged by knockoff versions that are being sold around the region at prices that are lower than the originals. In order to secure the long-term success of its varied portfolio of brands, Unilever has made enormous investments in the marketing and promotional operations of the company. It is absolutely necessary to have in-depth understanding of the solutions provided by one's rivals and to make effective use of this information in order to enhance one's own products and services in order to have successful product launches. Because Unilever is committed to valuing the views and perspectives of its consumers, the company is ready to devote a large amount of resources to marketing. Does the goal of "competitive positioning" consist of increasing the exposure of our products in relation to those of our rivals, therefore improving the capacity of customers to determine the value that is offered by the items in question? Because Unilever is known for creating items that are of a consistently high quality, the firm has been able to build a large customer base that has a great amount of trust in the business. The success that Unilever has had on a global scale may be attributed to a number of factors, including the company's reasonable prices, high-quality goods, customer-focused service, inventive packaging, and broad distribution network. The most recent marketing campaign that Unilever has launched is being presented as a determined effort on the company's part to win back the confidence of its consumer base. It is claimed that the successful usage of digital marketing and communication by Unilever 14 | P a g e
contributed to the organization's successful outcome regarding the sales of domestic items. Unilever is a multinational consumer goods company. References Anggrawan, A., Hairani, H. and Azmi, N., 2022. Prediksi Penjualan Produk Unilever Menggunakan Metode Regresi Linear. Jurnal Bumigora Information Technology (BITe) , 4 (2), pp.123-132. Bhuiyan, M. and Rahman, A., 2021. Marketing Strategy of Unilever Bangladesh Limited (Doctoral dissertation, Sonargaon University (SU)). Camilleri, M.A. ed., 2021. Strategic Corporate Communication in the Digital Age (pp. 1-18). Bingley, UK: Emerald Publishing Limited. Cheng, G., Cherian, J., Sial, M.S., Mentel, G., Wan, P., Álvarez-Otero, S. and Saleem, U., 2021. The relationship between csr communication on social media, purchase intention, and e-wom in the banking sector of an emerging economy. Journal of Theoretical and Applied Electronic Commerce Research , 16 (4), pp.1025-1041. Cuandra, F., Christina, C., Alfinda, F. and Eurico, E., 2022. Analysis of The Implementation of Operational Management at PT Unilever Indonesia Tbk Before, During, and After The Pandemi. American Journal of Current Education and Humanities , 1 (2), pp.64-74. Etter, M., Fieseler, C. and Whelan, G., 2019. Sharing economy, sharing responsibility? Corporate social responsibility in the digital age. Journal of business ethics , 159 , pp.935-942. Ganyang, M.T., 2021. Pengaruh program tanggung jawab sosial perusahaan terhadap citra PT. Unilever Indonesia: Survey pada mahasiswa STIE PBM Jakarta. Jurnal Riset Manajemen dan Bisnis , 6 (2), pp.51-60. Gul, A.S., Mansur, F., Kapadia, H., Nadir, M., Khan, R. and Aly, Z., 2020. An analysis of trikes in the Icecream and frozen dessert market in Pakistan. Gupta, S., Nawaz, N., Alfalah, A.A., Naveed, R.T., Muneer, S. and Ahmad, N., 2021. The relationship of CSR communication on social media with consumer purchase intention and brand admiration. Journal of Theoretical and Applied Electronic Commerce Research , 16 (5), pp.1217-1230. 15 | P a g e
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