Ch.3

Cons of Corporate Social Responsibility

-Takes focus away from making profits -Business executives spend shareholder money on environmental initiatives

The costs of corporate social responsibility may ultimately be passed on to the:

Consumer through high prices.

Those in support of corporate social responsibility believe the practice:

Discourages government regulation.

This inter-American organization (North and South America) was created to unite organizations focusing on corporate social responsibility from Canada to Chile.

Forum Empresa

What is one advantage of operating as a B corporation?

Government certifications are frequently conferred.

social entrepreneurship

ID social need & using their entrepreneurial skills to address needs

The iron law of responsibility says that:

In the long run, those who do not use power responsibly will lose it.

Philanthropic funding and public relations are two examples of corporate social responsibility:

Policy instruments of the Corporate Social Stewardship phase.

Concerns about corporate social responsibility are exemplified by which of these statements?

Required skills businesses may lack

According to Barlow v. A.P. Smith Manufacturing:

Socially responsible actions are an investment in the future, thus an allowable expense.

TRUE OR FALSE: An argument against corporate social responsibility is that it imposes unequal costs among competitors.

TRUE

Corporate Social Responsiblity

a perspective that acknowledges that the responsibilities of a business encompass the economic, legal, ethical, and citizenship expectations of society

B. Corporation

meet rigorous standards of social and environmental performance, accountability, and transparency

Pros to corporate power:

more resources lower cost production new products technologies

Social Audit

a systematic evaluation of an organization's progress toward implementing socially responsible and responsive programs

Social Entreneur

driven by core mission to create & sustain social value

Pros of Corporate Social Responsibility

It's the right thing to do Businesses have the resources to devote to fixing social problems Prevents government regulation and potential fines It can be profitable

Cons to corporate power:

disproportionate political system dominate public course divide markets squash competition

Success Firm

find ways to meet each of its critical responsibilities & develops strategies to enable obligations to help each other

BSR Survey

integrate corporate responsibility & citizenship concerns into company's values, culture, operations, and decisions at all organizational levels - create value - gain competitive advantage - help address world's biggest challenges

Social Ventures

organizations founded by social entrepreneurs

Corporate Citizenship

the actions they take to put their commitments to corporate social responsibility into practice.

Reputation

the beliefs or opinions that are generally held about someone or something

Corporate Power

the capability of corporations to influence government, the economy, and society, based on their organizational resources

Organizations founded with a core mission to create and sustain social value are called social:

ventures