Flashcards in 5003 - Corporate Social Responsibility (CSR), Sustainability, and the Circular Economy - Basics (Lecture 1) Deck (6)
What are the four aspects of CSR?
What is CSR?
‘The social responsibility of business encompasses the economic, legal, ethical, and discretionary expectations that society has of organizations at a given point in time.’ (Carroll, 1979:500)
EU Commission’s definition of CSR
The responsibility of enterprises for their impact on society
How can companies employ CSR?
• integrating social, environmental, ethical, consumer, and human rights concerns into their business strategy and operations
• following the law
What is a corporation?
A corporation is a legally entity with many of the same rights as those of individual people. A corporation is formed when investors exchange value (e.g., cash) for shares of the corporation becoming shareholders, which in turn creates a right to a portion of profits.