Corporations ' Measured Success By Financial Means Essay

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

or so many years our society has been thinking of forming new creative and innovative businesses, which would be more environmental and customer friendly. Nowadays a large number of different companies follow the social, ethical, as well as moral consequences when it comes to their decision making. One of the relatively new concepts involving economic and social concerns is Corporate Social Responsibility. Many of us apply this approach not only at work, but also in everyday life without even recognizing.

The expectation that businesses behave responsibly and positively contribute to society all while pursuing their economic goals is one that holds firm through all generations. Stakeholders, both market and nonmarket, expect businesses to be socially responsible. Many companies have responded to this by including this growing expectation as part of their overall business operations. There are companies in existence today whose sole purpose is to socially benefit society alongside businesses who simply combine social benefits with their economic goals as their company mission. These changes in societal expectations and thus company purpose we’ve seen in the business community over time often blurs the line of what it means to be socially

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 today’s world, corporations are being judged by how impactful they are on social, civil and political issues as it relates to society at large, and it behooves organizations to find their voice in advocating for causes that are meaningful (Fifka,2013). Once an organization has found a meaningful cause they can create healthy collaborative partnerships, with the government on mutually beneficial objectives to influence public policy through social lobbying (Lawrence, Weber, 2017). This idea is also underscored by Dr. Fischer when he mentions that businesses have a sphere of sovereignty to collaboratively worked with others to accomplish goals is a covenantal approach (Fischer, 2017). Firms can also address causes through instruments such as corporate social marketing. These instruments are campaigns that are created to change behavior as it pertains to public health, safety and the security of the community. Additional ideas for firms to be better corporate citizens are corporate volunteering, creation of foundations, venture philanthropy, donations and cause-related marketing

Corporate Social Responsibility (C.S.R.) is a theory practiced in the business sphere since fifty years. It refers to the duty of business organizations to adopt certain activities that will benefit the society in some way. Charity, health-awareness campaigns are few examples that a business undertakes to fulfil its objectives of C.S.R. According to this ideal, it is important for various corporations today to undertake such social activities, apart from merely focusing on their objective of profit maximization. But, is it an obligation that is most important than other objectives of business? This thought further leads us to another significant question – In contemporary settings, should corporations be guided by the concept of C.S.R.?

Corporate Social Responsibility (CSR) describes programs adopted by a company in addition to their profit-making ventures. These programs are specifically intended to integrate environmental and social concerns into regular business operations. More than just charity, they act as the “conscience” of the company and balance the social and environmental actions of the company with the desires of the shareholders. (“What is CSR?,” 2015) As a multinational corporation valued at billions of dollars, Bank of America has a large impact on its employees and surrounding communities.

Drawing from these debates, Archie Carroll has developed “the Pyramid of Corporate Social Responsibility”, one of the most significant concepts of CSR. There are four kinds of social responsibilities that contribute total CSR, he suggested, Economic, Legal, Ethical, and Philanthropic (1991). Therefore being socially responsible does not mean forgetting the fundamental aspect of business, to make profit. The obligation of Law restricts business activities and they are the rules of the game which businesses have to obey. Being ethical is to perform actions that are fair, morally good, and of stakeholders’ interests, even outside the boundary of law. Considering corporate citizenship, philanthropic responsibilities are responses to the rising society’s expectations to business (Carroll, 1991). The notion of discretionary and voluntary distinguishes philanthropic responsibilities to ethical responsibilities. A good CSR firm should “strive to make a profit, obey the law, be ethical, and be a good corporate citizen” (Carroll, 1991, p.43) and without simultaneous fulfillment of the four responsibilities, the business should not be characterized as operating within CSR.

Corporate social responsibility has been one the key business buzz words of the 21st century. Consumers' discontent with the corporation has forced it to try and rectify its negative image by associating its name with good deeds. Social responsibility has become one of the corporation's most pressing issues, each company striving to outdo the next with its philanthropic image. People feel that the corporation has done great harm to both the environment and to society and that with all of its wealth and power, it should be leading the fight to save the Earth, to combat poverty and illness and etc. "Corporations are now expected to deliver the good, not just the goods; to pursue

Anyone who owns public shares in a company has invested hard-earned money into a corporation based upon their perception that the company will be profitable and sustainable. The corporation’s board of directors are then responsible to manage the company in such a way as to increase their share-holders’ investment. For hundreds of years, this attempt to increase a corporation’s worth was done with little or no interest in social responsibility. Until very recently this topic was not very much in the public eye. However, at the moment the global economy is rapidly changing and business transparency is increasing through the accessibility of information across the world. Social and global change is moving faster than ever and progressing

A combination of recent changed to the world scene and pressures from public opinion now requires corporations to take on a new role, social responsibility. Corporate social responsibility is a corporation’s initiative to monitor and ensure compliance with the law, ethical standards, and norms. It can also be defined as corporation’s actions that further social good and go beyond the interests of the firm in order to make the world a better place. Essentially a corporation should embrace the idea of corporate citizenship, the idea that businesses are socially responsible for meeting legal, as well as ethical and economic responsibilities placed on them by shareholders. Although this is an alluring concept, it is also a flawed one. It

It is a central tenet of advocates of the concept of corporate social responsibility (CSR) that corporations receive a social sanction from society that requires that they, in return, contribute to the growth and development of that society. There is little argument as to the existence of this sanction but considerable debate as to whether it requires more of the corporation than the obvious: enhancing the society by creating and delivering products and services consumers want, providing employment and career opportunities for employees, developing markets for suppliers, and paying taxes to governments and returns to shareholders and other claimants on the rents generated by the corporation. For those with a narrow conception

Social obligation is a thought that has been of worry to humankind for a long time. In the course of the most recent two decades, be that as it may, it has happened to expanding worry to the business world. This has brought about developing communication between governments, organizations and society all in all. Previously, organizations basically fretted about the financial consequences of their choices. "Today, notwithstanding, organizations should likewise think about the legitimate, moral, good and social results of their choices" (Anderson 15). This paper will talk about the idea of corporate social obligation. It will examine the significance of partnerships setting up corporate social obligation ventures, and the effect these have on society.

When companies perform good deeds such as charitable and philanthropic work within the communities it serves, consumers take notice. Such engagement in the community gives a company a competitive advantage over their competitors in the industry. Social responsibility can make one company stand apart from the rest. Consumers appreciate it when their favorite brands support their community. Consumers may also frequent a company and purchase its products because of its socially responsible activities. Companies that target the everyday consumer, not an industry or government, “have greater incentive to appear charitable in order to increase demand for their products” (Lev, Petrovits, & Radhakrishnan, 2010). There is a correlation between the company’s perceived image and the demand for the company’s products. Consumers like to support companies that act positively in the community because the consumer in turn feels like they (in turn) are supporting the community. People generally want to be good neighbors and support causes that help the world, and if a company has a well-known reputation of helping others, the consumer may be more likely to support that specific organization over a competitor. Consumers are more likely to support products and organizations that go above and beyond for the greater good, and that would thus drive

Management must understanding principles of finance for a successful corporation because it is the backbone to good decisions. A successful corporate decision will maximize wealth based on principles of financing. Valuation, cash flow, risks, depreciation, timelines, and market efficiency are some terms that manager’s assesses and monitor using the principles of accounting from the GAAP (Generally Accepted Accounting Principles). It is the profitability of a corporation and the position of a corporation that the principles gives a clear insight on how the finance of an operation functions. The principles by GAAP are created from the accrual accounting methods. The principles with accrual accounting are recognition of revenue, how expenses and revenues are matched, and rules regarding how the depreciation of equipment. These principles management must understand. The recognition of revenue is a record of transaction. There are many transactions. The transactions are title of ownership to seller, time of delivery or pickup, and an order made. Matching revenues with expenses is recognizing expenses recorded on an income statement and sales during that period. The cost of production is expenses. It is the net income understated to cash flow. It produces a idea of activities and profitabilities during a period. Also, matching revenues with expenses is matching revenues for making revenues. The depreciation of equipment