Corporate Social Responsibility

Corporate Social Responsibility

Introduction

Why corporate social responsibility needs ethics by Rushworth Kidder, article published in Ethics Newsline, Institute for global ethics Publication has been selected in this study to be reviewed. The article begins by asking the question to its readers Can a socially responsible company be unethical? The answer of the question though seems quite easy but is not. Presently, for every company to thrive in existing markets specifically where information is readily available on the internet and in addition easily obtainable, they must ensure that they trade and also conduct their business using a set of ethical and moral limitations. This is what Kidder attempts to focus on in his article. He mentions the fact that there are very few companies all over the world doing good business while fulfilling corporate social responsibility.

Ethics and its types are a range of guidelines along with beliefs that any business needs to try to keep by, that will see how they execute their businesses and processes. .The author quote a model business to support his argument that every business should follow business ethics, by quoting an example of Cheryl Queen, a company in Florida which pays 0.5 cent extra on every pound while making purchase of tomatoes with labors. Nevertheless, you will find several businesses do not have a couple of ethical codes of conduct for business trading, or they simply neglect them since they believe this can impact their earnings, nevertheless this is an extremely wrong assumption for several causes. By way of example, when a company was purposefully trading unethically, and this data came to be freely available, there can be a massive backlash against the corporation, and this will lead to a significant drop on their share price (if it is on the stock market), potential traders turn frightened to invest, and most of all, revenue and profits might considerably drop.

Obviously, those firms who ensure they trade morally, will have no anxiety about such negative marketing, and can even use their particular exchanging requirements to market their business more confidently compared to their opposition. As well as pursuing the set code of ethics, companies may also incorporate corporate philanthropy into their business. Corporate philanthropy is described as corporations and companies offering cash, time, or at times resources to create an impression possibly socially, or even in the community. Commonly, it's the raising of income to give up ...