The examination of this notion will be through seeing what impact the United States work in other countries has within the United States; beneficial or detrimental outcomes. However, with non-profits having a source of income, should they not have to pay taxes? Even more so, if a company is receiving a tax break in the United States but is doing work outside of the county, can it be deemed unnecessary to allow them to receive tax exemptions? It would seem plausible that a company that is based in the United States and promotes the United States economy would receive tax benefits, but not ones that work outside out the country. Then through analyzing the impacts that not for profit businesses have with the work they do, the overall effects can be seen in global and local markets.
It is important to note that Porter’s ‘winning formula’ consists of selecting an industry to excel in, performing an analysis of its industry position, and maintaining this position to generate competitive advantage. The strategy here is to focus on the industry and outcompete rivals. The internal workings and assets of the firm is not of concern. As a response to Porter’s framework, the discipline of business strategy has developed a model concerned with matters internal to the firm. The resource-based model ignores the idea of the industry and focuses on how the unique capabilities and resources of a firm provide the basis for strategy.
I wanted to find ways that can assist argue CSI beyond the sublime PR speak; “cause related” marketing and reputation management jargon. Through some of the research that I conducted for the MC report I discovered work that sparked further interest into the area of corporate social investment and the broader corporate social responsibility. One of the readings was on the concept of Shared Value (Michael Porter and Kramer, 2011). Porter and Kramer highlight the creation of “shared value” by companies through linking their CSR and competitive advantage. The concept is premised around the belief that the competitiveness of a company and health of the communities in which it operates are mutually dependent.
3. It creates more opportunities for tax evasion. Since intermediate goods won't be taxed, companies can claim that something is an intermediate good when it is really and end product just so they can take advantage of tax exemptions. Another method would be to trade with and purchase goods from other
Nonprofit organizations, for example, are taxed for Unrelated Business Activities (UBIT), as discussed in this research guide. The federal exemption from the income tax and income tax deductibility of charitable contributions are two major topics covered in nonprofit law. There are two major categories of nonprofit organizations: 1) public service organizations -- Public charities and foundations [§501 c (3) , social welfare (§501c4) , and §527 organizations (at least theoretically]; and, 2) mutual benefit (member-serving) organizations) that are organized to further common goals of its members. It is crucial to obtain §170 status because it makes almost all receive deductible contributions. Also, Nonprofits are entitled to state law tax-deductions (property and sales tax deductions), and reduced rates in mailing their materials.
That makes an association responsible for the predictable results of its actions. In practical terms, this implies our small business has an obligation to the public to act ethically. Power to Act The source of an association's moral agency is its collective power to act. In other words, because our small business has power, it likewise has the has the responsibility to make ethical decisions. For instance, our organization can pay either low or bearable wages to its employees.
The actual genuine value of conducting business that inspires creativity, further cooperation and facilitates efficiency. Balancing people needs and long-term economic development as well as sustainable marketing these aspects lead to strength and faith in companies while they make use of less resources and funds. On an operational basis, sustainable marketing aims at making use of social evolution and customer behavior. This results to the achievements of long-established profit options. Finally, it is meant to provide services and goods through the management that is done in a responsible way.
With good reputation, it helps firms to create competitive advantage in the business environment. Thus, instead of focus on short-term profit maximizing or costs saving, firms should be stakeholder-oriented. A firm which is stakeholder-oriented focuses on the need of their stakeholder such as employees, customers, society and others who have a direct economic link to the firm (Habil, n.d.). Businesses that are socially responsible will avoid actions that may cause detrimental to stakeholders. They have greater concern on stakeholder well –being.
This levy has raised ethical concerns commonly known as tax avoidance and tax evasion. Tax avoidance is the lawful attempt to minimise expenses by deducting taxes in order to decrease tax bills. Tax evasion is the illegitimate practice of not paying taxes by not disclosing certain income or reporting expenses that are not legally permitted. Tax planning is established in order to minimise unethical issues that arise from tax levies and to ensure efficient tax usage. Irrespective of where a country lies in terms of development, the enactment of the tax levy will affect it.
For example, he determined the associations between individualism versus collectivism as provided by culture. He also learned the aspect power distance, uncertainty avoidance, and achievement versus quality of life orientation. In regard to its usefulness in context of understanding and achieving success in business organization, the area can be broad, and it will be discussed