Corporate Social Responsibility | My Assignment Tutor

Corporate Social Responsibility• A commitment on the part ofcompanies to deal with thewider social impacts of theiractivities.• CSR has the potential tocontribute both to theenvironmental and socialsustainability of business.Social ResponsibilityThe organisation accepts responsibility forpotential impacts on internal and external stakeholdersrequirements–beyondcontractual/legal For example– Not stimulating demand for potentiallyharmful products (e.g. tobacco, junk food,gambling etc.)– Not creating products/processes withnegative economic/environmental impacts(child labour, job losses, pollution/waste etc.)Source: Brassington,, F and Pettitt, S (2013), Essentials of Marketing , 3rd Edition, Pearson.Organisations design & carry out their marketing strategiesH under 5 alternate concepts:I S T O R I C A L L YCriticisms of the CSR concept :“The Dangers of Social Responsibility.”– stated that businesses have only tworesponsibilities:(1) to engage in face-to-face civility suchas honesty and good faith and(2) to seek material gain.– argued that long-run profit maximisationis the one dominant objective ofbusiness, in practice as well as theory(Levitt 1958, p. 49).American-German economistTheodore LevittLevitt, T. (1958). The dangers of social responsibility (pp. 41–50). Harvard Business Review.Criticisms of the CSR concept :“Capitalism and Freedom.”– argued that social issues are not theconcern of businesspeople and thatthese problems should be resolved bythe unfettered workings of the freemarket system.American economistMilton FriedmanFriedman, M. (1962). Capitalism and freedom. Chicago: University of Chicago Press.Why do corporations have social responsibilities?Business reasons (‘enlightened self-interest’)• Extra and/or more satisfied customers• Employees may be more attracted/committed• Forestall legislation• Long-term investment which benefits the corporationMoral reasons:• Corporations cause social problems• Corporations should use their power responsibly• All corporate activities have some social impacts• Corporations rely on the contribution of a wide set ofstakeholders in society, not just shareholdersWhat is the nature of corporate social responsibilities?The attempt by companies tomeet the economic, legal,ethical, and philanthropicdemands of a given society ata particular point in time.(source: Crane and Mattenp.45)Joseph Falcetta MSc. SPHR CEBSVice President Human ResourcesSee link on MoodleI. A Thriving Economy in a Democratic SocietyII. Three Essential Organisations of a SuccessfulCommunity• the government, businesses, and non-profit organisations(NPOs)III. Communal Retention and RelocationIV. Human Rights and Social ResponsibilityV. Meeting the Needs of the Common GoodVI. The Constituency of a CommunityVII. Community Service as an InvestmentVIII. The Benefits of CSR to a CorporationCarroll’s 4-part model of CSR – 1979PhilanthropicResponsibilitiesEthicalResponsibilitiesLegalResponsibilitiesEconomicResponsibilitiesDesired by societyRequired by societyExpected by societyRequired by societySource: Carroll (1991)“CSR encompasses theeconomic, legal, ethical,and discretionary(philanthropic)expectations that societyhas of organizations at agiven point in time”(Carroll 1979, 1991)Archie B CarrollAmericanprofessoremeritusCarroll’s pyramid of CSR: taking another look Archie B. CarrollInternational Journal of Corporate Social Responsibility volume 1, Article number: 3 (2016)CSR advantages for businesses:• results in new technologiesbeing developed and newproducts being made available• can be used to develop andsustain competitive advantage• is ‘good’ for business• has become a benchmark inbusiness performanceanalysis

QUALITY: 100% ORIGINAL PAPER – NO PLAGIARISM – CUSTOM PAPER

Leave a Reply

Your email address will not be published. Required fields are marked *