The Relationship Between Ethics and Corporate Social Responsibility

2613 Words Aug 18th, 2008 11 Pages
In recent years, the concept of ethics and social responsibility are essential in the business world as society is increasingly paying attention on the social responsibility of the companies and the ethics of their managers. According to Post et al (1996), ethics refers to standards of behaviour and moral judgement differentiating right from wrong. In addition, Bartol et al (2003) defined managerial ethics as “standards of conduct and moral judgement managers’ use conducting their business”. The objective of this essay is to analyze the relationship between ethics and corporate social responsibility (CSR). It will start with the principle concept of ethics, business ethics, and corporate social responsibility; the important of ethics in …show more content…
The concept of CSR raises the question to companies to look beyond how their decision making have an effect on the society. Nuumerous issues relate to the social responsibility, for instance, respect for employees, and the relationship with local communities, environmental responsibilities and fair trade with developing nations.

Kotler and Lee (2005: 4) suggest that CSR can be operated in various ways, such as contributing to the community ‘s health (e.g. AIDS prevention); Safety (e.g. designated driver programs, crime prevention); education (e.g. computer for schools, special needs education); the environment (e.g. recycling, elimination of the use of the harmful chemical); community and economic development (e.g. low-interest housing loans); and other basic human needs (e.g. hunger, homelessness, animal right, antidiscrimination efforts). Similarly, donations of products or cash directly through an organisation or indirectly through their Foundation, grants, publicity, paid advertising, promotional sponsorships and employee volunteers, are all included in forms of CSR.

CSR has grown in importance in recent years. The study of Arther D. Little (2003) found that CSR provided several benefits for its corporation. According to DiversityInc Website, CSR is used for “boosting
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