A Study On The Cause Marketing Strategy Of Chinese Enterprises

Since its invention in 1980 s, cause marketing, which has attracted extensive attention from both the academic and business field, has been widely applied in the western countries. In China, where social insurance system is incomplete and the gap between the rich and the poor is gradually widening, public welfare undertaking is receiving increasing attention from the government, the media and the public. That’s why many multinational companies consider cause marketing as an important strategy to promote their brands and enhance the relationship with the Chinese government.Meanwhile, many Chinese companies, due to misunderstanding on cause marketing and lack of strategic planning, clear positioning and communication skills, etc. when planning and executing public service activities, has resulted in its undesirable effects that failed to meet the expectation of shareholders. Therefore, a correct comprehension of cause marketing and learning experiences from advanced companies is urgent and essential for Chinese companies. Amway(China) Co., Ltd. has carried out over 11,000 public service activities and received more than 7,000 awards since its entering China market in 1995. The company not just considers investment in charity projects as a marketing tool and part of the development strategy, but also integrates it into its corporate culture. For the past years, Amway has developed a unique and complete system to manage causes that consists of market research, planning, execution, monitoring, evaluation and communication, etc.This thesis aims to analyze the cause marketing strategy of Amway China, mainly based on its Spring Sprout Project. It first explores the origin, contents and theoretical foundation of cause marketing, and then gives detailed analysis on the cause marketing strategy of Amway China and finally sum up the practices that are worth learning by Chinese companies, mainly including:1. Choose charity projects that manifest brand values and match its products & services; 2. Establish cooperation relationship with NPOs that boast good reputation and rich social networks;3. Persist in carrying out activities under the same themes; 4. Attach adequate importance to communication; 5. Set up complete project management system.