Corporate Social Responsibility Flashcards
Explain how csr works.
Companies have to seriously consider the impact of a companies actions on society. Requires the individual to consider their acts in terms of a whole social system. Holds everyone as responsible for the effects of acts anywhere in that system.
Explain the difference between corporate social responsibility, responsiveness and performance. (Corporate citizenship)
Responsibility is considering their actions, their obligations and accountability. Responsiveness is the action or strategy they uphold. Performance is the outcomes or results.
What is the economic model of csr?
Society determines needs and wants via the market place. Society will get what they want if companies base rewards on their ability to give society what it wants.
What is the legal model of csr?
Society’s expectations on how to behave. How it changes. New laws.
What are the requirements for corporate social responsibility?
economic: profitable. Max sales. Min cost.
Legal: obey laws. Adhere to regulations.
Ethical: (expected not required) avoid questionable practiced. Do what’s fair and just.
Philanthropic: (desired not required) be a good corporate citizen. Hive back. Contribute to the community.
List some arguments against csr. (5)
Restricts classic economic goal of profit maximisation.
Some businesses aren’t equipped to handle social activities.
Dilutes primary purpose of businesses.
Increases business power.
Limits ability to compete in a global market.
List some arguments for csr. (6)
addresses social issues bought on by a business. And allows them to be a part of the solution.
Protects their self interest.
Wards off future govt. intervention.
Addresses issues using business resources/enterprise.
The public supports it and will support the company
What are the four ways a firm can respond to/approach csr and explain.
Defensive: avoid any pressure
Cost benefit: reaction if it effects cost
Strategic: recognise engage and Accommodate.
Innovation and learning: being proactive.
Who are the drivers (internal motivators and external pressures) of corporate citizenship.
Internal motivators: Tradition Reputation Business strategy Recruiting/retention of employees.
External pressures:
Customers
Expectations
Law and political pressure.
What is the triple bottom line perspective? (Key spheres of sustainability)
Economic: the firms creation of material wealth including income and assets.
Social: bottom line is about quality of people’s lives, equity between people, community and nations.
Environmental: bottom line about perfection and consideration of the natural environment.
Explain the social media strategy
Taking a strategic and deliberate approach to social media.
Everywhere and nowhere, do one or two things right not everything wrong.
Search engine optimisation: you want to be the first result when googled.
Define csr
The social responsibility of businesses that encompasses economic, legal, ethical and discretionary expectations that society has of organisations at a given point in time.
