Question
The obligations of a business in the CSR model recognize that businesses control so much of the wealth and power in this country, that businesses
The obligations of a business in the CSR model recognize that businesses control so much of the wealth and power in this country, that businesses have a responsibility to use that wealth and power in socially beneficial ways. Thus, the social aspect of CSR requires that corporations demonstrate that they are promoting goals that society deems worthwhile and are moving toward solutions to social problems. Companies may be judged on how much they donate to social causes, as well as how they conduct their operations with respect to employment discrimination, human rights, environ- mental concerns, and similar issues. Some corporations publish annual social responsibility reports, which may also be called corporate sustainability (referring to the capacity to endure) or citizenship reports. One view of CSR stresses that corporations have a duty not just to share- holders, but also to other groups affected by corporate decisionscalled stakeholders. The rationale for this "stakeholder view" is that, in some circumstances, one or more of these other groups may have a greater stake in company decisions than shareholders do. Under this approach, a corporation considers the impact of its decisions on its employees, customers, creditors, suppliers, and the community in which it operates. Stakeholders could also include advocacy groups such as environmental groups and animal rights groups. To avoid making a decision that may be perceived as unethical and result in negative publicity or protests, a corporation should consider the impact of its decision on the stakeholders. The most difficult aspect of the stakeholder analysis is determining which group's interests should receive greater weight if the interests conflict.
Select one:
True
False
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started