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INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS<br />

JUNE 2011<br />

VOL 3, NO 2<br />

focus instead on products which provide well-being and comfort.” It also said that it was<br />

committed to not using ingredients in its cosmetics that had been tested on animals for cosmetic<br />

purposes after December 31, 1990. It further pointed out that most of the ingredients used in<br />

cosmetic and toiletry products had been animal tested for some purpose at some time in their<br />

history, and it would be almost impossible to sell products whose ingredients had never been<br />

tested on animals. Setting up own rule and at the same time doing business following own rules<br />

could lead to competitive advantage, but it is only possible, not certain.<br />

Body shop is good example in this context. Body shop contracts suppliers who protect rules<br />

which are very severe and pay reasonable price for productions. Price standards are not set up by<br />

standards of product country, but by Body shop. Normally prices are higher than in other<br />

transactions, but these activities make customers trust Body shop and customers support these<br />

activities. This strategy that Body shop sets up own rule and does business following own rules<br />

is connected with core competence of Body shop and leads to competitive advantage. Though<br />

Body shop is not so big, but its presence is certain. This teaches us that a level of CSR is raised<br />

by some firms, namely management level or strategic level. So now the problem is that how firm<br />

manages CSR and take CSR in management.<br />

On the other side, Body shop success is also one big step. Body shop is not so big in comparison<br />

with Toyota. Its activity is in so called niche market. But its strategy works so well and suggests<br />

us how to survive in niche market. Having sociality and environmental consciousness is accepted<br />

in such a small market, leads to competitive advantage and is connected with core competence.<br />

Environmental and social perspectives could be connected with core competence of a firm.<br />

Toyota has already suggested that and Body shop has also. These cases are landmark in markets<br />

and they play bottom line’s role. If such a big firm like Toyota suggests a new type of strategy,<br />

other firms in same industry imitate its strategy or think other strategies to compete with Toyota<br />

in new market like eco market which is found by Toyota.<br />

A model for relationship between CSR and SCA at Body Shop<br />

For presenting a model to show relation between SCA and CSR we need some factors. In our<br />

model we refer to market, employees, environment (customers, suppliers, investors and business<br />

partners), and society (communities, NGOs, business ethics and global issues). In this model we<br />

are trying to say that there is a strong link between different factors that can affect each other.<br />

Changing in one of them will cause change in another. As model shows we demonstrate if a firm<br />

like Body Shop wants to get CA over competitors it needs to apply both perspective and for that<br />

they must consider tangible and intangible resources to find their core competencies over<br />

competitors. The model shows that, as porter believes, firms must possess the best resources<br />

above-normal rates of return because of the comparative advantage of their resources.<br />

As we know, based on PBP, SCA, can be achieved from the ability to protect a suitable position<br />

within an industry so the model tell us to get that position a firm must consider its tangible and<br />

intangible resources and capital resources is the most important one among others. (See fig 1)<br />

Resource based perspective gives us an open window to all resources that we have and guide us<br />

how to handle the external and internal environment. RBP is like a road map that illustrates all<br />

aspects of the resources from human capital to technological logistics. And presents a wide view<br />

in dealing with resources to get CA and be socially responsible. For that firms must care about<br />

whatever they claim. They must be as ethical as possible so they need to provide a chart of what<br />

they are believe in and act to them accordingly. If they do that they can be hopeful to get good<br />

COPY RIGHT © 2011 Institute of Interdisciplinary Business Research 571

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