goodgovmod3

a business model that suggests companies have a responsibility not only to

their shareholders but also to society and the environment.

(a)  

It encompasses the idea that businesses should operate ethically

and contribute positively to the communities in which they operate.
integrating social and environmental

concerns into business operations and interactions with stakeholders.

(a)  

Corporate Social Responsibility was officially introduced in the early ___s during the industrial revolution through American economist and educator ____ (____)

(a)  

PHASE 1: 1900 to early 1900s
PHASE 2: Early 1900s
PHASE 3: 1900


(a)  

Phase of CSR
characteristics
Management must maximize profit.

✓ Individual drive for profit maximization would ultimately create wealth for the nation.

✓ Business systems as profit maximizers are used as tools for the elimination of economic scarcity.

✓ Businesses ignored unsafe working conditions, paid starvation wages and used child labor in order to maximize profit.

✓ Problems of cultural minorities, unsafe products, unfair advertising and urban poor problems were given little if no attention at all.

✓ Abuses of capitalism were extremely rampant, and the government tolerated these deplorable business practices.

(a)  

Phase of CSR
Characteristics

✓ Management was considered both as an instrument of stockholders and as trustee for all groups who contribute to the business enterprise.

✓ Aside from profit maximization, management’s concern was also to maintain a fair balance in the interests of employees, customers, creditors, stockholders and the community.

(a)  

Phase of CSR
Characteristics

✓ Security of basic goods and services was no longer a principal problem.

✓ Social and economic problems brought about by economic growth expanded the concept of social responsibility of management.

✓ Society demanded management’s active participation in helping solve social and environmental problems in view

of the vast resources (funds, manpower, materials, management skills, and technology) of businesses.

✓ Businesses expected to contribute to the improvement of quality of life, which involves cultural, social, educational, political factors, and economic society.

✓ Society is unstable if the quality of people is poor. Business contributes for a good quality of life and society.

✓ A prosperous society is the best environment for a business to thrive in. Businesses will benefit from its self- investment in society.

(a)  

PERSPECTIVES ON CORPORATE SOCIAL RESPONSIBILITY

(a)  

PERSPECTIVES ON CORPORATE SOCIAL RESPONSIBILITY
a) The primary responsibility of business is profit maximization. Obligation of management is to satisfy stockholders for their investments.
b) Does not emphasize profit maximization and interest of stockholders. To balance the interests of employees, customers, suppliers, and the local plant community is the role of managers of big businesses.
c) Includes the needs and interest of the whole society in contrast with the classical and management views. Establishes harmony with both business operations and public interest.
d) Excess wealth should be given to the less fortunate. A successful corporation should perform its social responsibility more by returning a fair portion of its profit to the people in the form of social services.

(a)  

THE FOUR CORPORATE SOCIAL RESPONSIBILITIES
a) refers to the practice of making financial decisions based on a commitment to doing good.
b) Refers to the organization’s commitment to sustainability and environmentally friendly operations.
C) company’s commitment to operate their business in an ethical manner that upholds human rights principles, such as fair treatment of all stakeholders, fair trade practices and equal pay.
D) It involves giving back to society and supporting community development initiatives.

(a)