Ch#6 Social Responsilibility Of Business And Business Ethics

Question 1

Define social responsibility

Answer 1

Social responsibility of business refers to its obligation to take those decisions and perform those actions which are desirable in terms of the objectives and values of our society

Question 2

What are the arguments for social responsibility?

Answer 2

Long term interest of the firm
Avoidance of government regulations
Maintenance of society
Availability of resources with business
Converting problems into opportunities
Better environment for business
Holding business responsible for social problems

Question 3

What are the arguments against social responsibility?

Answer 3

Violation of profit maximisation objective
Burden on consumers
Lack of social skills
Lack of broad public support

Question 4

What are the kinds of social responsibility?

Answer 4

Economic responsibility
Legal responsibility
Ethical responsibility
Discretionary responsibility

Question 5

What are the different causes of pollution?

Answer 5

Air pollution
Water pollution
Land pollution
Noise pollution

Question 6

What are the needs for pollution control?

Answer 6

Reduction of health
Reduced risk of liability
Cost savings
Improved public image
Other social benefits

Question 7

What are the ground rules of ethics?

Answer 7

Be trustworthy
Have respect for others
Own responsibility
Be fair in dealings
Be caring towards the well-being of others
Prove to be a good citizen-through civil virtues and duties