2h Corporate social responsibility

Question 1

What are 2 parts of corporate social responsibility.

Answer 1

Environmental

Social

Question 2

What is CSR?

Answer 2

Corporate social responsibility (CSR) is the ethical conduct of a business beyond legal obligations, and the consideration of social, economic and environmental impacts when making business decisions.

Question 3

What is philanthropy?

Answer 3

Philanthropy is an active effort to promote the well being of others, such as through donating money to charity

Question 4

What are some advantages of CSR?

Answer 4

Advantages

Business 
• Can result in a positive business
reputation which may attract
more customers.
• May attract highly skilled employees who
value ethical conduct and are committed
to achieving business objectives.

Employee 
• Employees typically prefer to work for
businesses who are socially responsible.
• Employees are likely to be more
motivated and loyal to businesses that
demonstrate CSR.

Money
• Customers may be willing to pay more for
ethically produced goods and services.

Question 5

What are some real world examples of social considerations?

Answer 5

Ben and Jerry’s is a multinational company that produces ice cream, frozen yoghurt and sorbet. Ben and Jerry’s displays CSR through various business activities which focuses on benefiting the community. One example of Ben and Jerry’s CSR activities includes their corporate philanthropy program, where they award $1.8 million each year to organisations tackling a social problem. Ben and Jerry’s employees are responsible for choosing organisations that tackle a wide range of social issues.

Question 6

What are some real world examples of environmental considerations?

Answer 6

Google is committed to using its resources in the most efficient and sustainable manner. During the past decade, Google has worked towards becoming a carbon free energy business. For the past three years, Google has matched 100% of its energy consumption with purchases of renewable energy. On average, Google is 50% more energy efficient compared to other businesses within its industry

Question 7

What are some disadvantages of CSR?

Answer 7

Disadvantages

Business 
• A constant focus on CSR and
implementing strategies may decrease
productivity levels in other tasks, such as
making sales.

Time
• It can be time consuming to implement
CSR practices.

Money
• CSR practices can be expensive for a
business to implement.