Corporate responsibility

Question 1

Adam smith

Answer 1

• The invisible hand: individual self-interest unintentionally contributes to overall economic well-being of society
• perfect competition in the market
• law of supply & demand
• everyone benefits

Question 2

Van Hayek

Answer 2

• price system: free markets -> coordinating people’s actions -> spontaneous order
• aggregate of material resources -> efficiently
• financial interest of the stakeholders

Question 3

Milton Friedman

Answer 3

• a company has no moral responsibility -> to make profit
• perfect competition doesn’t exist

Question 4

The responsibility of enterprise

Answer 4

• adam smith: of course companies must be moral responsible bcs it’s natural for every human
• religion: the common good, stewards of the earth not rulers
• The club of Rome: sources on earth has limits, who’s job is it to be sustainable-> also companies
• SDG: global challenges facing humanity
• Challenging traditional capitalism:
  -> conscious capitalism: higher purpose, stakeholder orientation, conscious leadership, conscious culture
  -> doughnut economy: thrive, not grow
  -> post growth economy: not unlimed sources

Question 5

Challenging traditional capitalism:

Answer 5

-> conscious capitalism: higher purpose, stakeholder orientation, conscious leadership, conscious culture
-> doughnut economy: thrive, not grow
-> post growth economy: not unlimed sources