Corporate Social Responsibility And Its Legal Requirements

Businesses, specifically larger corporations, play a major role in what occurs in society therefore, they are responsible to their stakeholders not only to pursue economic goals but the greater social good as well. Corporate social responsibility (CSR) means that a corporation should act in a way that enhances society and its inhabitants and be held accountable for any of its actions that affect people, their communities, and their environment. (Lawrence, 2010). Social responsibility is becoming the norm so much so that some businesses have incorporated it into their business model. There are three components of the bottom line of social

Based on my interpretation of CSR, I see it as a voluntary obligation that companies have promised to their stakeholders to fulfill by improving, or at least not harm, the environmental and social wellbeing. When companies engage in CSR, they voluntarily promise to, for example, carry the responsibility to protect the environment and take actions against bribe or other corruptive activities related to their business. It certainly has some positive influences to specific areas based on my knowledge gained from other classes; nevertheless, when judge CSR in the context of total impacts on our society and environment, it is obvious that CSR has failed its mission to lessen the negative impacts of business based on the evidences that provided by the author. Also, since there is a strong positive relationship between CSR behaviors and consumers’ reactions to a firm’s products and services, it seems to me, now, that CSR for the most companies is just a fancy cover that helps them to create or promote a good image and reputation. The recent case that shows the failure of CSR of Volkswagen even make me believe that CSR programs may be just a marketing or public relation exercise for many

Corporate Social Responsibility (CSR) is something that affects all companies and should be an active factor in the company’s decision making. It is something all corporations need to care about. CSR is when business’ or corporations take part in an initiative or campaign for a cause that will benefit society and/or in some way make the world a better place (Taylor, 2015). Initially, Corporate Social Responsibility started to take shape around the 1950’s, but some say that it dates all the way back to the 1800s, the idea of CSR was seen (Carroll, 2007). One may think that because it is dated so long ago, it doesn’t have an important impact today nevertheless, it is proven that Corporate Social Responsibility is a pathway for entities to self benefit as they are in the process of benefitting society.

In business world companies are interested in how to maintain or increase shareholder values and profit. So, in order to give something back to the general public, those companies have to assume their responsibilities by being aware of the effects of their activities in the community and take measures to control them because this can affect the community and the environment by polluting the air, destroying the ecosystem, over using natural resources and so on. CSR is often called corporate citizen which means that companies should be good neighbors of the community not to work against it but collaborate with the citizen or the society in order to increase their welfare, to make a community a better place to live.

There is currently a robust and ongoing debate about whether a companies, especially a publicly traded companies, only goal should be profit. Making money for the shareholders used to be what business was about. Now, more and more people are starting to believe that companies should pay more attention to social and environmental concerns that effect not just the shareholders, but the stakeholders and even society as a whole. The practice of Corporate Social Responsibility, or CSR, believes that everything cannot be left up to the market. The market exists to make profits at all costs. So, there needs to be a mechanism in place where social causes and the environment are taken care

As a result, corporate social responsibility (CSR) is considered as key for the survival of organizations. A plethora of terms have been used to describe CSR; these include sustainability, business ethics, stakeholder management, corporate responsibility, corporate social performance, corporate conscience, corporate citizenship, social performance, or sustainable responsible business (Carroll & Shabana, June 2011). CSR is the duty of a corporation to create wealth in ways that avoid harm to, protect, or enhance societal assets (Steiner & Steiner, 2006).

In recent years, Corporate and Social Responsibility has become an ever increasing concern and source of community debate. It is now socially accepted that corporations have some ongoing responsibility, though sometimes ignored, to set a good example, make decisions based on social good and on ensuring positive environmental practices.

“Corporate social responsibility (CSR, also called corporate conscience, corporate citizenship, social performance, or sustainable responsible business) is a form of corporate self-regulation integrated into a business model. CSR policy functions as a built-in, self-regulating mechanism whereby business monitors and ensures its active compliance with the spirit of the law, ethical standards, and international norms. The goal of CSR is to embrace responsibility for the company 's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere. Furthermore, CSR-focused businesses would proactively promote the

Corporate social responsibility (CSR) as defined by Carroll (1979) refers to the inclusion of moral, lawful and economical obligations that is expected of a business by the society (Brtitzelmaier, Kraus 2012). Organisations are expected to act responsibly, but many would agree that their actions and policies do have a direct or indirect effect on the society at large and the environment. The success of most organisations is dependent on their corporate

CSR is about how a business takes account of its economic, social and environmental impacts in the way it operates – maximizing the benefits and minimizing the downsides. Corporate social responsibility (CSR) is the buzz phrase these days. Where previously formal CSR policies have been the domain of governments and multinationals, business people at all levels are becoming aware that they ignore their CSR responsibilities at their peril.

There are four major parts of CSR which are philanthropic, ethical, legal and economic responsibilities. In other words, a company with more responsibilities can accomplish and fulfil their stakeholders (employees, customers, shareholders, local communities and society) form a better CSR. (Carroll, Archie B., 1991) They are benefiting each other. As CSR is not a law, it will not penalise the company that is not following. On the other hand, it can build up company’s image and bring good reputation that

The 21st century has led to businesses having more Corporate Social responsibility (CSR) than before. CSR will help businesses to add value to their company. A business should know the importance of the value chain along with using CSR and not just look at profits. Customers like to do business with companies that are responsible inside and outside of an organization. When business fail with using CSR they will lose customers because customers like to do business with responsible businesses that show corporate social responsibility.

Federal law requires that businesses perform certain socially responsible activities. In fact, several government agencies have been established and are maintained to develop such business-related legislation and to make sure the laws are followed. The Environmental Protection Agency does indeed have the authority to require businesses to adhere to certain socially responsible environmental standards. Adherence to legislated social responsibilities represents the minimum standard of social responsibility performance that business leaders must achieve. Managers must ask themselves, however, how far beyond the minimum they should attempt to go—a difficult and complicated question that entails assessing the positive and negative outcomes of performing socially responsible activities. Only those activities that contribute to the business's success while contributing to the welfare of society should be undertaken.

The importance and eminence of Corporate Social Responsibility (CSR) across the business world started to increase during 1998-2007. Role conflicts often arise when competing demands like business goals and social goals are in question. The increase in the sense of social responsibility,stakeholder pressures and concerns for the environment has heightened the focus of businesses on CSR. A business that fulfils its CSR sufficiently can expect an improvement in its financial performance,enhanced brand reputation, a reduction in its operating costs,long term sustainability, a boost in staff commitment,innovation and production,better risk management,good relations with its stakeholders and development of closer links with customers. However,in today 's world CSR is not being dealt with serious and proper attention hindering the success of businesses.Business ethics concern the study of proper trading policies and practices regarding potentially controversial issues.They are guided by law and are based on a certain scheme that businesses should follow in order to gain public approval and be successful.CSR embraces responsibility for the behaviour of companies and motivates them to have a positive contribution and impact

Social responsibility is an idea that has been of concern to mankind for many years. Over the last two decades, however, it has become of increasing concern to the business world. This has resulted in growing interaction between governments, businesses and society as a whole. In the past, businesses primarily concerned themselves with the economic results of their decisions. “Today, however, businesses must also reflect on the legal, ethical, moral and social consequences of their decisions” (Anderson 15). This paper will discuss the concept of corporate social responsibility. It will give the definition of the phrase, and identify some of the global factors that necessitate corporate social responsibility. It will discuss the importance of corporations setting up corporate social responsibility projects, and the impact these have on society. Social corporate responsibility and the maintenance of high ethical standards is not an option but an obligation for all business.