3.1 INTRODUCTION
Following the literature review in the preceding chapter, this chapter focuses on the description of the research setting (CSR initiatives in Ghana) and lays emphasis on the study area – Ghana. In addition, the chapter discusses the methodological framework of the study in detail. It opens with a discussion on the justification for the choice of the research design that ensures scientific objectivity, validity and reliability and proceeds to discuss the research strategy. The discussion of the research methods focuses on the sampling process, data methods and sources of data collection, the empirical model for data analysis and ethical considerations.
3.2 PROFILE OF GHANA
The Republic of Ghana is located in West Africa. It borders Cote d’Ivoire to the west, Burkina Faso to the north, Togo to the east and the Gulf of Guinea to the south. The capital of Ghana is Accra. It has a total land area of approximately 238,533 square kilometres. The 2021 population of Ghana is 30,832,019 with a growth rate of 1.2 percent. Males represent 49.3 percent and females represent 50.7 percent (Ghana Statistical Service, 2022).
The country’s economy is dominated by agriculture, which employs about 40 percent of the working population. The country has a vibrant telecommunications sector, with four cellular phone operators and several internet service providers. Ghana is one of the leading exporters of cocoa in the world. It is also a significant exporter of commodities such as gold and lumber.
3.3 CORPORATE SOCIAL RESPONSIBILITY INITIATIVES IN GHANA
Ghana generally counts on the extractive industry and telecommunications sector as their main contributor to corporate social investment. These sectors’ CSR initiatives tend to focus on community programs as their impact is highly felt at local level in environmental, social and economic terms. The purpose of the CSR initiative by companies in Ghana synchronises with the studies of Atuguba & Dowuona-Hammond (2006) that CSR is seen as a developmental relationship that exists between corporations and society with an end goal to mutually achieve a safe environment and fulfill social objectives. The strategy of CSR initiative by companies can best be represented as community-led development as addressed by Skinner and Mersham (2008), where local people are empowered in areas such as education, health, and infrastructure.
CSR initiatives in Ghana that the study focuses on include the extractive sector (Ghana National Petroleum Corporation Foundation, Tullow Ghana Limited and Newmont Ahafo Development Foundation); and telecommunications sector (MTN Ghana Foundation and Vodafone Ghana Foundation).
(i) Ghana National Petroleum Corporation (GNPC) Foundation
GNPC Foundation is the arm of the Sustainability Department which spearheads the Corporate Social Investment activities of Ghana National Petroleum Corporation (GNPC). The vision of the Foundation is “to impact lives” through community engagements and interventions. The overall objective is “to make GNPC more visible and socially responsible”. To achieve this objective, the Foundation’s activities are tailored around three main pillars: education and training; environment and social amenities; and economic empowerment.
(ii) Tullow Ghana Limited
Tullow Ghana Limited takes a strategic approach to embedding sustainability throughout the business. This approach is based on the understanding of the needs and demands of their stakeholders, combined with a focus on the topics that reflect their most significant economic, social and environmental impacts.
(iii) Newmont Ahafo Development Foundation (NADeF)
NADeF is a sustainable community development foundation. The Foundation utilizes funds (US$1 per ounce of gold produced and 1% of net profit from the Ahafo Mine) to support the following key areas of development: human resource development; economic empowerment; infrastructure provision; social amenities; natural resources protection; support for cultural heritage; and sports development.
(iv) MTN Ghana Foundation
At MTN Ghana Foundation, a proportion (one percent) of each operating unit’s profit after tax is dedicated to undertaking CSR initiatives. The Foundation aims to achieve a broad community impact by supporting national development priorities in the area of health, education and economic empowerment. The Foundation has so far invested over GH¢130 million in more than 125 projects across the country for all the three focus areas. These interventions have impacted an estimated 8.5 million people.
(v) Vodafone Ghana Foundation
Vodafone Ghana Foundation, the charity arm of Vodafone Ghana was launched in 2009 to support sustainable initiatives that drive social change, improve people’s lives and solve pressing social needs. The Foundation has introduced a number of initiatives to drive its new strategic objective of becoming a technology-oriented foundation, combining charity work with technology to deliver transformational projects that improve and enhance the living conditions of Ghanaians. Key projects include healthline, instant schools and charitable donations.
3.4 RESEARCH DESIGN
In order to achieve the objective of the study, the case study approach was adopted. A case study is described as "an empirical investigation into the present phenomenon in its real-life situation; where the parallels between phenomenon and history are not clear; and where multiple proof sources are used" (Yin, 1984 cited in Zainal, 2007). A case study helps to understand the nature and dynamism of social problems needing lasting responses. Its reliance on multiple sources of evidence provides for triangulation to limit biases or inaccuracies in collecting data. Thus, the case study research strategy was chosen because it permits for both comparative and independent analysis of data.
3.5 RESEARCH STRATEGY
The study employed the qualitative research in examining the perception of CSR strategies and corporate financial performance in Ghana. The qualitative research strategy provides a way to get an in-depth understanding of a study (Creswell, 2014).
3.6 UNIT OF ENQUIRY
According to Denzin (2020), before asking any question, a researcher must identify a population of interest. Two (2) units of enquiry are selected for the research and these include (i) CSR companies (Ghana National Petroleum Corporation, Tullow Ghana Limited, Newmont Ghana Gold Limited, MTN Ghana and Vodafone Ghana); and (ii) Ghanaians (beneficiaries of CSR initiatives). The purpose for selecting these units was to help triangulate data in order to limit the biases in data collection.
3.7 SAMPLE SIZE TECHNIQUE
The study adopted the convenience and purposive sampling techniques to select the unit of enquiries. Premised on time and financial resources constraints, the convenience sampling technique was used to select 100 Ghanaians (beneficiaries of CSR initiatives) for the study. Purposive sampling technique also was used to select CSR organisations in Ghana including Ghana National Petroleum Corporation, Tullow Ghana Limited, Newmont Ghana Gold Limited, MTN Ghana and Vodafone Ghana.
3.8 METHODS OF DATA COLLECTION
The study relied on various data sources to provide answers to the research questions. The analysis used both primary and secondary data sources in ensuring data triangulation. Primary data related to this study apply to all field data gathered through interviews with Ghanaians (beneficiaries of CSR) using a research tool - semi-structured questionnaire. The research tool consisted of questions on perceptions of CSR strategies and corporate financial performance in Ghana. With respect to the interviews, a face-to-face approach was adopted in administering the semi-structured questionnaire.
Secondary data, on the other hand, refers to the data obtained from journal articles, academic studies and other online published materials. The secondary data were collected using a checklist to cover the following sub-topics: (i) CSR conceptualization; (ii) perceptions of CSR interventions; (iii) impact of CSR interventions on corporate financial performance; and (iv) measures to enhance CSR interventions. These data were obtained through reviews of documented reports including programmes of action and annual reports of the selected CSR organisations in Ghana.
3.9 ETHICAL CONSIDERATION
Human studies can be performed only with ethical clearance according to the Denzin (2020). The basic ethical concepts that have been considered include:
(i) Informed Consent: The research ensured that participants received informed consent before they participate. Before they decided to take part, participants were told precisely what they were expected to do, and what the risks were.
(ii) Respect Individual Autonomy: Informants were informed that they were free to withdraw from the interview at any time, without giving a reason and also could request that the data given be removed from the study. Again, informants were made aware that their identities and confidential information were protected. Lastly, there was no incentive provided to encourage individuals to participate.
3.10 ANALYSES OF DATA
The data collected through primary and secondary sources were processed and analysed. Processing of the data involved a careful examination of the collected data to ensure accuracy and consistency with other data gathered. The analyses of the data collected capture the followings:
(i) Conceptualization of CSR
Content analysis of CSR strategy of corporate organisations was undertaken to assess the factors that influence the adoption and implementation of corporate social initiatives.
(ii) Perceptions of CSR interventions
After the content analysis of the CSR strategy of corporate organisations, the stud shifted from the policy framework to perceptions of CSR interventions. The responses that were gathered from Ghanaians (beneficiaries) concerning CSR interventions were examined critically and matched with the intended goals and objectives of CSR strategy of corporate organisations.
(iii) Impact of CSR interventions on corporate financial performance
The underlying impact of CSR interventions, both positive and negative, which affect corporate financial performance were reviewed.
REFERENCE
Atuguba, R., & Dowuona-Hammond, C. (2006). Corporate Social Responsibility in Ghana. Final Report submitted to Friedrich Ebert Foundation (FES). Retrieved from http://citeseerx.ist.psu.edu/viewdoc/download on February 21st 2022.
Creswell, J. W. (2014). The Selection of a Research Approach. Research Design: Qualitative, Quantitative, and Mixed Methods Approaches, 1(1), 3-24.
Denzin, N. K. (2010). On Elephants and Gold Standards. Qualitative Research, 10(2), 269-272.
Ghana Statistical Service (2022). 2021 Population and Housing Census of Ghana. Accra: Ghana Statistical Service.
Skinner, C., & Mersham, G. (2008). Corporate Social Responsibility in South Africa: Emerging Trends. Society and Business Review, 3(3), 239-255.
Zainal, Z. (2017). Case Study as a Research Method. Jurnal Kemanusiaan, 5(1), 1-6.
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