Milton Friedman’s quote on “there is one and only one social responsibility of business---to use its resources and engage in activities designed to increase its profits” can actually be seen in different perspectives. Company can also be socially responsible by contributing towards the community through what they do best: excelling in economic terms (Brusseau, 2012). When corporations are making profits, most of it gets sent back into the economy and everyone benefits. Jobs are created, and those that already exist get some added security. More successful corporations mean the increase of the country’s economy, which in turn lead to a social benefit for the society that offers better living conditions.
An ethical business is always abided by the laws, it always follows the rules and the regulation prescribed. An ethical business is a strong believer of “fair salary for fair works”, it treats their employees well, operates the business fairly and honestly, the business is always honest to the dealers of the organization, it makes a fair and honest
Moreover, other three responsiblities are based on the economic reponsibility because the author indicated that without it the others become moot questions. To be more specific, economic responsibility is the foundation of Carroll’s pyramid. The second factor is legal responsibility which is involved in obeying the laws. That means the society expects the business entities not only to operate with the profit motivation but also to comply with the laws as well as regulations of gorvernment. Legal responsibility is regarded as the next layer on the pyramid which is defined as some statements such as “it is important to perform in a manner consistent with expectations of gorvenment and law, to comply with various federal, state, and local regulations, to provide goods and services that at least meet minimal legal requirements, to be a law-abiding corporate citizen and a successful firm is defined as fulfilling its legal requirements”.
2013 ASSIGNMENT-2 TASK B Topic: HSBC Student ID:12f9674 Name: Zayyan Rafique Module: Business Communication (F13 BUS 00002) Instructor: Dr. Radhika Lakshmi Semester: Fall 2013 Table of Contents: Topic Pages Introduction 3-4 Discussion 5-6 Conclusion 7 Reference 8 Introduction: Objective: The company that I have chosen is HSBC. I found this topic and the company interesting so I decided to choose it and research on it. The research will basically consist of the history, secrets of growth and success, problems faced, future prospects and benefits of it to the world and Oman. Methodology: The methodology used is online research and articles about the company. History: HSBC is a British multi-national banking and
So, it is important for the organization to understand, establish and demonstrate a business ethics framework relevant to the company. By enabling a sponsorship to the framework is an expression of social policy in the workplace by employers for purposes such as determining controlling entities. Morals are linked with personal behavior whereas ethics are related to organizational principles to normalize the behavior of all employees - including top executives and other management. Ethical behavior refers to conduct that meets moral and legal commitments to clients and coworkers. It 's clear that ethics is an important dimension for
The ethics influence and contribute to employee commitment , investor and customer loyalty and confidence , legal problems and penalties , customer satisfaction the ability to build relationships with stakeholders , cost control performance , reputation and image , leaderships ethics and ethical organizational culture . These elements are part of the ethics in the organizational without the ethics business it cannot working in smooth way. The ethics between the all stakeholders are important, and it will tell you what to do or what do not to do what the ethical and what unethical like be honest with your customer and do not but your employees under pressures. The ethics very important it organized the
When we talk about corporate first thing to come to mind is profits, as the main responsibility for any corporation is to maximize its profit. This was the main argument for the early days, that the corporate sole responsibility was to maximize profits only, as to achieve the most financial return to the shareholders. But those views proofed to be inadequate, as many new arguments arose after that giving a wider scope for the corporate responsibilities, seeing that it should expand beyond the economic reasonability to add new dimensions, primarily the environmental and social ones (Kitzmueller & Shimshack, 2012). Many empirical researches argued the importance of these new dimensions to the corporate, and how it could benefit the firm as well
It is a real challenge for the organizations to continuously strike a balance between their growth and sustainability challenge. Sustainability is more about consuming less and conserving more but the corporate is more about consuming more and saving less. This is the major loophole which corporates have to fill but keeping their gains intact. Not only this but when a sustainable solution to any problem is arrived at it further leads to several other problems. Some of the quick fixes that companies could use to keep the pace of sustainability are:- • Size is important: - Pursuance of sustainability and the company size should be in sync to each other.
Secondly; there is legal responsibilities, a business’ legal responsibilities are the regulations that are made by the law. After guaranteeing it is profitable, it should ensure that it complies with all laws. Legal responsibilities can vary from securities regulations down to environmental law, labour law and criminal law. Thirdly; ethical responsibilities; this is when a business puts on itself as its owners believes it is the ethical thing to do, not because they have the responsibility to do so. Lastly; philanthropic responsibilities, this includes putting an effort to benefit society, for example, giving money to charity, donating services to the local community organizations and engaging in projects to help the environment (M. Scilly, 2016).
Businesses also practice social responsibility by donating to national and local charities so this brings up another responsibility is the philanthropy in other words helping the disadvantaged ones or the charities for fair trade and other things. The consumers will really appreciate