Social Responsibility

Question 1

Corporate Social Responsibility

Answer 1

Management’s obligation to protect and promote the welfare of all stakeholders

Question 2

Corporate Social Investment

Answer 2

Actual resources that are invested in these stakeholders

Question 3

Triple Bottom Line Reporting

Answer 3

Economic (profit), Environmental (planet) and Social aspects (people).

Question 4

Sustainability

Answer 4

Processes that ensure the project continues, able to continue benefiting after the CSI intervention

Question 5

Interest Groups

Answer 5

The organisation’s primary social responsibility is toward the business itself while there is also a broader social responsibility

Question 6

Primary Interest Groups (5)

Answer 6

• Owners. Invested capital
• Employees. Job security and remuneration
• Suppliers. Fairtrade, pay them on time
• Consumers. Reasonable price, good quality product
• Competitors. Can’t steal intellectual property

Question 7

Broader Interest Groups (7)

Answer 7

• Government. Create tax systems to increase National Income levels
• Nature conservation
• Sponsorship
• Upliftment through training
• Health and safety
• AIDS prevention
• Anti-drug abuse campains

Question 8

Arguments for CSR (5)

Answer 8

• Try and prevent socio-economic problems
• Moral duty to try
• Avoid new legislation
• Business image and goodwill
• Making a difference to community

Question 9

Arguments against CSR (6)

Answer 9

• Providing good is enough responsibility
• Shareholders only real stakeholders
• Distracts employees
• Recover money with higher places, inflation
• Create unrealistic expectation
• Not always sustainable