Corporate Social Responsibility

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Corporate Social Responsibility versus Corporate Social Irresponsibility

Corporations should embrace CSR and avoid all activities that take the form of CSI. Corporations should not ignore their responsibility to the stakeholders for the sake of short-term benefits. Though it may require an investment of financial resources, CSR generates long-term benefits to the shareholder value. Corporations that embrace CSR utilize opportunities and manage risks derived from environmental, economic and social developments. CSR helps businesses to be self-regulating and to monitor its activities to keep them in line with the ethical standards, the law and the international standards. CSR helps a company to be responsible for her actions and to impact create a positive impact to its consumers, the environment, employees, and stakeholders. Such practices contribute immensely towards the establishment of trust and loyalty that are imperative for a sustainable and prosperous future (Popa & Salanta, 2014).

The society judges corporations by their behavior and results. `One of the factors that help businesses to achieve a good brand reputation is corporate governance. The reputation of a brand is achieved, in part, as a result of corporate governance. Corporations that integrate corporate social responsibility policies into their core values contribute to a better society. In return, the society will recognize the efforts of these corporations. They can boost their CSR by observing their ethical obligations, supporting public expectations and improving the environmental conditions. Corporations can also create a balance of power and responsibility, prioritize stockholder interests, and provide solutions to prevent social problems. The benefits of these activities to corporations include long-run profits, a better public image, new customers, establishment of stronger customer relations. The corporations embracing CSR also increase their ability to motivate, attract a talented workforce, obtain more resources by influencing investors and policy makers and reduce government regulation.

References

Lindgreen, A., & Swaen, V. (2010, March). Corporate Social Responsibility. International Journal of Management Reviews. pp. 1-7.

Popa, M., & Salanta, I. (2014). Corporate social responsibility versus corporate social irresponsibility. Management & Marketing, 9(2), 137–146.

Terris, D (2005) Ethics at Work: Creating Virtue at an American Corporation. Brandeis University Press. Waltham, MA. Retrieved from ProQuest ebrary.