CSR Flashcards
what is environmental csr
The responsibility a business has towards the environment.
Give examples of evironmental csr
- Reducing negative impact on the environment such as pollution and non-recycled products.
- Increasing the reliance on ‘green’ renewable and sustainable energy and products.
- Offsetting negative impact done to the environment for example by donating to pro-environment groups that will make conservation efforts.
What is community csr
The responsibility a business has to its social community, respecting human rights and avoid exploitation.
Give examples of community csr
- Respecting human rights and avoiding exploitation.
- Avoiding being supplied by any business which involves exploitation, sweatshops or child labour.
- Responsible treatment of employees e.g. minimum wage, health and safety provisions.
- Philanthropy. Donating money to charitable causes.
what is a more contemporary version of CSR is ESG
Environmental, social and governance.
The ‘governance’ term adds the requirement of avoiding political corruption such as bribery.
WHat is CSR and ESG often promoted as
**A way of linking good business and good ethics. **
- If a business is discovered to have illegal environmental harm human rights violations in its supply chain then that can cause governments to step in and regulate it. That can be very bad for profit.
- Committing to CSR/ESG can allow a business to maximise its profits by minimising those risks and thus do well by doing good.
What is CSR and ESG also a oppurtunity for
improved public relations (PR). The company appears better in the eyes of the public for the good that it does. It can essentially be used as a selling point for advertising, which can also increase profits.
Define Free market capitalism
Free market capitalism is the idea that the only responsibility of a business is to maximise profit for its shareholders.
Utilitarianism on CSR
Bentham and Mill think that the free market is generally the best way to maximise happiness.
- They would likely accept environmental CSR because of how damaging climate change can be to happiness.
- However, regarding community CSR, they would probably reject philanthropy as a responsibility of business.
- Bentham did favour some regulations for employees like minimum wage.
Ultimately, Mill and Bentham think the free market generally works for producing human flourishing and happiness. They would generally be against restrictions and responsibilities laid on business which would interfere with that
Kantian ethics on CSR
The second formulation would require that market interactions do not involve the treatment of people as mere means. Labour should not be treated merely as a commodity. A basic level of respect must be given to employees and all stakeholders.
Examples of Kantian ethics on CSR
- Avoiding exploitation (community CSR). This includes paying workers enough, perhaps a minimum or even living wage.
- Providing a safe work environment (community CSR).
- Avoiding fraud or deceptive advertising (community CSR).
- Avoiding polluting the environment or having a net negative impact on the environment (environmental CSR).
Examples of CSR as advertising
Innocent smoothie advertises on every bottle that they give 10% of all their profits to charity.
Pret-a-manger gave away their left over food away to charities at the end of the day.
On the label of each sandwich they sell, they advertised this fact and stated ‘it’s the right thing to do’.
What political position typically agrees with CSR
CSR is typically a centrist or centre-left position. Those further left often regard CSR as hypocritical window dressing, meaning making something appear good while overall it is bad.
Why might some use CSR as hypocritical window-dressing
A business which engages in CSR for public relations purposes might be doing so to distract from their unet
Who summed up hypocritical window-dressing well
Anand Giridharadas
“Jeff Bezos wants to start a school for kids whose families are underpaid by people like Jeff Bezos.”
