CSR

Question 1

Ethical Code

Answer 1

A document detailing a company’s rules and guidelines on staff behaviour that must be followed by all employees

Question 2

Give 4 advantages of CSR

Answer 2

Increased consumer loyalty and rate of return of customers.
Govt policies can be less detrimental to CSR firms.
Better brand image
Easier to recruit employees

Question 3

Give 4 disadvantages of CSR

Answer 3

Conflicts of interest with shareholder
Conflict with profit motive
Higher costs
More pressure to stay true to the CSR aim

Question 4

Give 4 advantages of an Ethical code

Answer 4

Avoid expensive court cases
More likely to win government contracts
Attract high skilled employees
Attracts ethical consumers

Question 5

Give 4 disadvantages of an Ethical Code

Answer 5

Ethical supplies can be more expensive
Refusing bribes can mean reduced revenue
Loss of ‘pester power’ when limiting ads to children
Paying higher wages compared to unethical firms