Chapter 18: The Community and the Corporation
True
True/False: Most corporate contributions may not benefit their donors directly, but they at least build goodwill and help cement the loyalty of employees, customers, and suppliers who value association with a good corporate citizen
volunteerism
the efforts of people to assist others in the community through unpaid work
Neighborhood Housing Services of America (NHS)
A locally controlled, locally funded, nonprofit, and tax-exempt organization that offers housing rehabilitation and financial services to neighborhood residents
increased
After the recession, companies had _____ contributions to the community to often meet the communities' basic needs
civic engagement
the active involvement of businesses and individuals in changing and improving communities
return of social investment
the benefits that accrue to a business and society
education
What is an area in which collaborative partnerships among business, government and communities have been particularly effective?
health and services
Where does the largest share of corporate philanthropy go to?
community
a company's area of business influence that may refer to a geographical area or a range of groups that are affected by an organizations actions, whether or not they are in immediate vicinity
context for strategy and rivalry
a condition of strategic contribution in which a company designs their donations to support policies that create a more productive environment for competition
related and supporting industries
a condition of strategic contribution in which a company focuses on charitable contributions that strengthen related sectors of the economy to better help their own companies
factor conditions
a condition of strategic contribution that focuses on the supply of trained workers, physical infrastructure, and natural resources
demand conditions
a condition of strategic contribution that focuses on those that affect demand for a product or service ex: a company provides free software to universities to promote use of their product
volunteer employee service
a form of corporate giving in which a company donates their own time to help community members
charitable donations
a form of corporate giving in which a company gifts money to a community
in-kind contributions
a form of corporate giving in which a company gifts products and services to a community
civic engagement
a major way in which companies behave responsibly toward all their stakeholders to carry out their corporate citizenship mission
community relations manager
a manager that is responsible for interacting with local citizens, developing community programs, managing donations of goods and services, working with local governments, and encouraging employees volunteerism
habitat for humanity
a nongovernmental organization that builds or repairs housing
corporate foundations
a nonprofit foundation that permits a company to administer contribution programs more uniformly and provide a central group of professionals that handle all grant requests help companies implement philanthropic programs to meet corporate social responsibility
collaboration of system reform
a wave of corporate involvement in education reform in which a company maintains collaborative partnerships among business organizations, schools, and government agencies
direct involvement
a wave of corporate involvement in education reform in which a company might "adopt" a school, providing it with cash, equipment, and volunteer assistance
public policy initiatives
a wave of corporate involvement in education reform in which a company might call for school choice and adoption of national testing standards
application of management principles
a wave of corporate involvement in education reform in which business leaders would assist schools by advising administrators and government officials who needed training in management methods, such as strategic planning and performance appraisal
outputs
an element that assesses the return of social investment by measuring the activities that took place when involved in corporate giving this is usually measured in numerical counts of people or communities served ex: number of clinics provisioned, people who received the medications and doses provided
impacts
an element that assesses the return of social investment by measuring the difference a program made i.e. the actual benefits that accrued to the people and communities served ex: how many cases were prevented
inputs
an element that assesses the return of social investment by measuring the resources in which a company provides ex: cash contributions, employee time, products and services, or logistics support
friedman
believes that the goal of the firm is to maximize profits and return a portion of those profits to shareholders as a reward for the risk they took in investing in the firm
freeman
believes that the very nature of capitalism is putting together a deal, a contract, or a set of relationships among stakeholders so that all can win continuously over a long period of time believes in pursuing profits but creating value for stakeholders as well
freeman
business is an institution for stakeholder interaction that contains a systems of innovation, value creation and exchange --competition is a second order to this we need to include basic ethics and values into business, not separate them from business
strengthen
by aligning priorities with employee interests, employees will feel that their values are being expressed through the organization's choices and the relationship between the company and its workers will ______
strategic philanthropy
corporate giving that is linked directly or indirectly to business goals and objectives in this approach, both society and the company benefit from the gift
freeman
focuses on the managing for stakeholders and how all of these people interact and create value within a business-- an executives or entrepreneurs job is to manage and shape these relationships
balance
ideally, a community's support of business and business' support of community are roughly in ____, so that both parties feel they have benefited in the relationship a relationship of mutual interdependence
value creation
similar to the concept of enlightened self interest, this represent the benefits to the business of the program ex: was the reputation of the company enhanced/did the firm develop new relationships?
friedman
social responsibility is to be taken at the cost of an individual, not the company as a whole
10
tax rules allow U.S. corporations to deduct from their taxable income all such gifts that do not exceed ___ percent of the company's before-tax income
social capital
the norms and networks that enable collective action the goodwill that is engendered (caused) by the fabric of social relations this enables everyone to be better off by communities and companies committing to each others welfare
community relations
the organized involvement of business with the community "mobilizing the company's assets to address social issues and support social well-being beyond creating jobs and paying taxes"
license to operate
the right to do business from society can gain through positive interactions with a community
friedman
the view that there is one and only one social responsibility of business - to use its resources and engage in activities designed to increase its profits so long as it stays within the rules of the game, which is to say, engages in open and free competition without deception or fraud
engagement
this means being committed to or involved with something
civic
this pertains to cities or communities
collaborative partnerships
voluntary collaboration among business, government, and civil society organizations to achieve specific objectives
economic development, housing, aid to minority enterprises, and disaster relief
what are areas in which a community might need help from companies within its area
corporate philanthropy
when a business gives generously to their communities through various kinds of philanthropic contributions to nonprofit organizations
