2. The Importance of Social Responsibility
• Solving Social Problems:
-For example, is the protest against aerosol sprays.
• Resource given by the organizations to solve the social
problem.
• -Organization should be, for example, give due
consideration to the design of work organization and job
satisfaction, make very reasonable effort to give security of
employment, and provide employment opportunities for
minority groups.
3. • Improves Public Image of the Firm:
-Social initiatives taken by organizations
tend to promote goodwill, public favour, corporate
trust, profit.
- E.g. Cigarettes
• Improving Stock Price:
-for example: giving recognition to the
needs of developing countries; limiting the extent
of political involvement or campaigning; donations
to, or sponsorship of, the arts, educational or
educational or research institutions, sporting
organizations or charities.
• Best Interest of Business to Promote and Improve
the Communities:
4. • Assist to Government:
- to solve social, economical and
political problems of the country.
• Pressure of Consumer Movement:
- to protect consumers against business
malpractices like adulteration, black
marketing, unfair pricing, shortage in
weight, measures, etc.
• Pressure of Trade Union:
- relations between management and
labour.
• Need of Social Audit.
5. • Attracts and retains staff:
• Customers are attracted to socially
responsible companies:
• Corporate Social Responsibility
attracts investors:
• Corporate Social Responsibility helps
to cut your business costs
6. • To share the negative consequences as a
result of industrialization.
• Helping to get talents.
• Role in transfer of technology (TOT).
• CSR is for human right corporate
sustainability.
7. • For corporate sustainability goals.
• Interdependency between a corporation and
community.
• A CSR program can be seen as an aid to alleviate
poverty
