Business Plan For A Company

Social responsibility makes a company more competitive and reduces the risk of sudden damage to the company’s reputation and sales.

Going “Green” is a trendy topic and is growing around the world. There are many proven facts showing that reducing emissions, waste, and gas help the environment, but the question remains to companies if they should take action to help the environment within their company. Will this help organizations with their overall success or will the cost of implementing environmentally friendly policies outweigh the organizations profits?

Firms have responsibilities to society at large by not harming the environment (polluting the air or water); producing safe products and providing a safe work environment for it’s employees and the surrounding residents.

Company Q is a corporation whose stakeholders have not placed a major emphasis on social responsibility, instead it appears that the primary focus is placed on profit. With their profits on the decline, they are shying away from opportunities to help their community. By placing a higher priority on social responsibility Company Q will have the opportunity to help the community through charitable donations, employee volunteer initiatives, and creating quality jobs for the persons who live in the community. At the same time, Company Q will can also improve their public image and potentially increase profit.

Companies that follow these guidelines can charge higher prices, which helps to offset the costs incurred. They also increase customer loyalty and cultivate an image as a responsible company. Employees are happier and more motivated to work at companies that address these growing concerns. Financially, they have a much better chance of attracting capital investments. Finally, environmental and community groups are more likely to support companies that address issues like these.

Certain decisions can result in consequences for the business, the employees, and all other stakeholders. While maintaining a competitive edge helps maintain profitability, it also allows provides workers with higher wages, bonuses, and other rewards that benefit them. Maintaining a competitive edge is important to many stakeholders within the organization who stand to benefit, it may not benefit, or may even be harmful to other members of the community. If a company produces waste that affects surrounding air or water quality, the business decisions may be in unethical. It would be a top priority to find ways to reduce waste, while still maintaining

If customers refuse to buy products from organization that do not value the environment, organizations will change to customer’s needs. Along with not buying products, customers should not invest with companies who do not value the environment and communities. “Economists incorporate the triple bottom line into their models of business decision making by assuming that many individuals will buy shares in companies that achieve the triple bottom line outcomes they want and will sell shares in companies that do not” (Douglas, 2012. Pg. 7).

It might…, people like to do business with companies that reflect their values. Duggan (n.d.) argue that as people become more aware of companies' impact on the community, they want to do business with firms that reflect their needs. Duggan (n.d.) shared if a production processes because water pollution, the company may be able to conduct business in a cost-effective manner for the short term, but public opinion and pressure to improve their impact on the environment may reduce business sales profit in the long run.

There are (3) reasons why I have chosen energy drinks as my NAB. First off, there is a growing market for energy drinks. Red Bull and Monster Beverage Corporation, together, form over 80% of domestic energy drinks volumes by estimates. Dollar sales for energy drinks grew almost 6% to $6.67 Billion in measured channels in 2013, which propelled sales growth for convenience stores (Team, 2014). A growing thirst for caffeinated “energy” drinks, which include the likes of Red Bull, Monster, and Rock star, has spurred a heart-thumping surge in sales. Globally, the energy drink industry has gone from a $3.8-billion business in 1999, to a $27.5-billion

Being socially responsible is a very important way for companies to generate interest in communities, and can contribute to a company performing well (Allenby & Krizov, 2004; De Pelsmacker, Driesen, & Rayp, 2005). When a company moves into an area and starts hiring people and giving back to the community, people who live there see the value in the company and want

Company X’s attitude towards being socially responsible is being clouded by its desire to maintain high profits. With its current actions, Company X is catering to a select group of its primary stakeholders such as the investors and shareholders. They seem to be forgetting that the customers, employees, and the community are also primary stakeholders. We will look into the scenario and dissect the company’s actions to show how they are alienating the community that will ultimately determine their reputation and profitability.

Milton Friedman dictates that firms' primary responsibility is to maximize shareholder revenue and should overcome all hindrances in the environment to do so. This would include having employees work long hours, maintaining high prices or even side lining the importance of environmental safety.

I do not agree with the following quote by Milton Friedman. Engaging in activities that are designed to only increase profits for a company would open doors to complications and mistakes, which is caused by the lack of customer satisfaction. The social responsibility of any business should be to take care of its customers, instead of just focusing on the amount of profit the company is making. If a company decides to just focus on making a profit, it will lose focus on providing customers with products and services that will improve their standard of living.

• Companies do not pay the full costs of their impact. For example the costs of cleaning pollution often fall on society in general. As a result profits of corporations are enhanced at the expense of social or ecological welfare.

* Their corporate responsibility beliefs lead them to minimizing the impact construction has on the environment including support for local communities and clubs