Chapter 6

Question 1

idea that businesses should operate
according to principles and policies that
make a positive impact on society and the environment.

Answer 1

Corporate social responsibility

Question 2

a business model used by companies to enhance society and the environment through concerted efforts.

Answer 2

Corporate social responsibility

Question 3

NEED FOR SOCIAL RESPONSIBILITY

Answer 3

• CHANGING EXPECTATIONS
• REPUTATION
• AVOIDANCE OF GOVERNMENT
INTERFERENCE
• LONG-TERM SELF-INTEREST
• CONTRIBUTION TO SOCIAL PROBLEM
• BETTER ENVIRONMENT FOR BUSINESS
• GROWTH OF CONSUMERS
• OPTIMUM UTILIZATION OF RESOURCES

Question 4

CSR was officially introduced in the? and who?

Answer 4

early 1950’s through American
economist and educator Howard Bowen

Question 5

saw the marked development
in CSR as companies started to be more aware of their social responsibility.

Answer 5

beginning the 1970’s

Question 6

more companies became more responsive to the various stakeholders due to social activism.

Answer 6

1980s and 1990s

Question 7

CSR has become an integral part of organizational strategy and rightfully, so companies do not exist in a vacuum.

Answer 7

21st century

Question 8

FOUR TYPES OF CORPORATE SOCIAL
RESPONSIBLITIES

Answer 8

1. Economic responsibility (make profits)
2. Legal responsibility (follow laws)
3. Ethical responsibility (be fair)
4. Philanthropic responsibility (be charitable).

Question 9

who came up with a ‘pyramid of
corporate social responsibility?

Answer 9

Archie B. Carroll (1991)

Question 10

This is about ensuring that your organization remains profitable and financially transparent.

Answer 10

Economic Responsibility

Question 11

Economic responsibility

Answer 11

• Keeping your costs to a minimum.
• Maximizing income.
• Invest in developing and growing the business in the long term.
• Ensuring financial risks are managed correctly.
• Providing a return to owners and/or shareholders.
• Being economically responsible enables you to create and sustain jobs in the community, and contribute useful, non-harmful products and services to society.

Question 12

This is also straightforward and a minimum requirement for all businesses: to obey the law

Answer 12

Legal responsibility

Question 13

This is also straightforward and a minimum requirement for all businesses: to obey the law

Answer 13

Legal responsibility

Question 14

Legal Responsibilities

Answer 14

• Being truthful and transparent about the safety and security of the products or services you sell. ( Do not commit to deceptive product practices)
• Keeping your employees and customers safe.
• Ensuring that you meet environmental, health, and safety requirements.
• Paying taxes.
• Paying mandatory employee benefits.

Question 15

Philanthropic responsibilities

Answer 15

• Enabling team members to take part in volunteering programs during work time.
• Sponsoring community initiatives.
• Offering mentoring expertise to nonprofits.
• Entering into community or charitable partnerships.
• Donating to charity, and offering employee donation-match schemes.
• Tackling wider global issues, such as poverty, climate change, racism, or gender inequality.