Balancing profit and social responsibility

What does “profitability” mean for a business?

• Ensuring environmental protection

• Generating the highest possible revenue and financial return

• Providing fair wages and safe working conditions

• Giving back to the community

Social responsibility in business focuses on:

• Maximizing short-term profit

• Building strong financial portfolios

• Acting ethically to benefit people, communities, and the environment

• Expanding into global markets

Which of the following is an ethical dilemma for businesses?

• Deciding whether to enter new markets

• Choosing between profit-making and socially responsible practices

• Hiring new employees

• Calculating product prices

Which framework encourages businesses to consider “People, Planet, and Profit”?

• Profit Maximization Model

• Triple Bottom Line

• Shareholder Theory

• Free-Market Economics

Paying employees fair wages, even if it reduces profit, is an example of:

• Profit-first decision

• Corporate Social Responsibility (CSR)

• Tax avoidance strategy

• Cost-cutting method

Why might socially responsible actions sometimes reduce short-term profits?

• They are illegal

• They usually involve higher costs (sustainable materials, fair labor, etc.)

• They harm brand reputation

• They prevent innovation

Which group of stakeholders is MOST likely to demand higher financial returns?

• Customers

• Shareholders / Investors

• Employees

• Community members