Topic 3 - Objectives

Question 1

Corporate Social Responsibility

Answer 1

Organisations acting in an ethical way or in any way that benefits either society or the environment.

Methods:
- Philanthropy - donating to charity.
- Legal responsibilities -abiding by laws.
- Economical responsibilities - using fair and competitive marketing.
- Ethical and environmental responsibilities - reducing the use f child labour.

Advantages:
- Good reputation
- Attracts high quality staff
- Attracts customers
- Society and the environment are kept in good order

Question 2

Growth

Answer 2

To make the business larger.

Advantages:
- Reduces risk of failure
- Increases profits
- Avoids being taken over
- Removes competition
- Economies of scale