Social responsibilities of Business and Business ethics

corporate social responsibility- CSR

CSR can be defined as achieving commercial success in ways that honor ethical values and respect people, communities and the natural environment. it addresses the legal, ethical, commercial and other expectations that the stakeholders have

kinds of social responsibility

economic legal ethical discretionary

responsibility towards the shareholders and owners

has to provide a fair return to the shareholders ensure safety of their investments should provide regular, accurate and full information about the organization's working and its schemes for future growth

arguments for social responsibility

justification for existence and growth long term interest of the firm avoidance of government regulation maintenance of society availability of resources within the firm converting problems into opportunities better environment for doing business holding business responsible for social problems

how are legal responsibility and social responsibility different

legal responsibility may be fulfilled with a mere compliance with the law. social responsibility is the firm's recognition of social obligations even though they are not covered by the law.

responsibility towards government and community

must respect the laws of the country must pay taxes regularly must be a good citizen must protect the environment must develop their image by continuous interaction with society

social responsibility towards various interest groups

responsibility towards: shareholders and owners workers consumers government and community

responsibility towards the workers

should provide opportunities for meaningful work should try to create the right kind of working conditions must respect their right to form unions must ensure them of a fair salary

what is social responsibility

social responsibility refers of business refers to take those decisions and perform those actions that are desirable in terms of the values and objectives of our society.

responsibility towards consumers

supply of right quantity and quality of goods at reasonable prices must take proper precaution against adulterated goods, poor quality, lack of desired service and courtesy to customers, misleading and dishonest ads etc. must have the right to information about the product, the company and other matters having a bearing on their purchasing decision

aspects of social responsibility

the concept of social responsibility is an ethical issue it has an element of voluntary action they may exercise their freedom for deciding the extent to which they would like to serve various sections of the society

reality of social responsibility

threat of public regulation pressure from labor movements impact of consumer consciousness development of social standards of business development of business education relationship between social interest and business interest development of professional managerial class

arguments against social responsibility

violation of profit maximization objective lack of social skills burden on consumers lack of broad public support