What are the models of social responsibility?
Corporate social responsibility is traditionally broken into four categories: environmental, philanthropic, ethical, and economic responsibility.Environmental Responsibility. ... Ethical Responsibility. ... Philanthropic Responsibility. ... Economic Responsibility.Apr 8, 2021
What are the 2 views on corporate social responsibility?
Two opposing perspectives to CSR have emerged resulting from different interpretations of the role of corporations in society—business view and societal view.
What are the 3 models of corporate social responsibility?
Milton Friedman's statement that management is to make as much money as possible within the limits of the law and ethical custom embraces three components of the CSR pyramid—economic, legal, and ethical.Feb 28, 2008
What is the economic model of social responsibility?
The socioeconomic model of social responsibility refers to the concept that a business should not only focus on earning profits but must also look after the effects of its decisions and functioning on society.
Which of the following models of corporate social responsibility considers business a citizen of the society that it operates in?
The stakeholder model of corporate social responsibility (CSR) views business as a citizen of the society in which it operates and, like all members of a society, business must conform to the normal range of ethical duties and obligations that all citizens face.
What are the two basic dimensions of social responsibility and how do they differ?
Understanding Social Responsibility Peter Drucker, the late globally respected management expert, said that we should look first at what an organization does to society and second at what it can do for society. This idea suggests that social responsibility has two basic dimensions: legality and responsibility.
What are 4 types of social responsibility?
Read on to discover the four types of corporate social responsibility of business and how they look in action.Environmental Responsibility. ... Ethical Responsibility. ... Philanthropic Responsibility. ... Economic Responsibility. ... The Benefits of CSR.Sep 23, 2021
What are examples of economic models?
Examples of economic modelsCobb–Douglas model of production.Solow–Swan model of economic growth.Lucas islands model of money supply.Heckscher–Ohlin model of international trade.Black–Scholes model of option pricing.AD–AS model a macroeconomic model of aggregate demand– and supply.More items...
Which model of social responsibility places emphasis?
The economic model of social responsibility places emphasis not only on profits but also on the impact of business decisions on society. Consumerism consists of all those activities that are undertaken to protect the rights of consumers in their dealings with business.
What are the two views of social responsibility?
Two Views of Social Responsibility. Government regulation and public awareness are external forces that have increased the social responsibility of business. But business decisions are made within the company. Two contrasting philosophies, or models, define the range of management attitudes toward social responsibility;
What is the responsibility of government officials who are elected for that purpose and who are accountable to the voters for their decision?
In addition, social issues are the responsibility of government officials who are elected for that purpose and who are accountable to the voters for their decision. These arguments are obviously based on the assumption that the primary objective of business is to earn profits, whereas government and social institutions should deal ...
What are the two contrasting philosophies of management?
Two contrasting philosophies, or models, define the range of management attitudes toward social responsibility; the economic and the socioeconomic model. According to the traditional concept of business, a firm exists to produce quality goods and services, earn a reasonable profit and provide jobs. In line with this concept, the economic model ...
Is social responsibility someone else's job?
To the manager who adopts this traditional attitude, social responsibility is someone else's job. After all, stockholders invest in a corporation to earn a return on their investment, not because the firm is socially responsible and the firm is legally obligated to act in the economic interest of its stockholders.
What are the four social responsibilities of CSR?
As shown in the above figure, there are four kinds of social responsibilities that cohesively constitute the concept of CSR. This involves economic, legal, ethical and philanthropic. The pyramid is used to show the different responsibilities of a business in the order of decreasing importance.
Why should corporate social responsibility be mandatory?
Why should corporate social responsibility be made mandatory? Corporate Social Responsibility (CSR) is a self-regulating business strategy that helps businesses to be socially responsible and being accountable, to their stakeholders and to the public.
How does CSR help businesses?
Businesses by implementing CSR models in their operations increase their adaptability to internal and external changes in the environment. This helps to promote positive changes and bringing about progress in socio-economic parameters. CSR benefits people and entities with few or no resources (Ivesha, 2008).
What is CSR in hotel industry?
By Ashni Walia and Priya Chetty on April 1, 2020. Corporate Social Responsibility (CSR) is a self-regulating business strategy that helps businesses to be socially responsible and being accountable, to their stakeholders and to the public.
What is the CSR model for Coca Cola?
For instance, Coca-Cola has employed the CSR model known as the 5*20 Program that focuses on employing 5 million women in the developing countries by the year 2020 in their bottling and distribution roles . This will not only benefit the women but also the community as the company also aims to provide better access to health care facilities and education to their employees.
What is the main idea of the model?
The main idea of the model is that no responsibility is more important than the other.
What is the CON model?
The Concentric Circle model which is also known as the CON model shares some similarities with Carroll’s Pyramid and IC model. For instance, the CON model also states economic responsibility as one of the core social responsibilities. Also, like the IC model, the CON model also emphasizes the interrelationships among different responsibilities (Zu, 2009).
Introduction
I. The Constituency Model of CSR
- A. The Model
The constituency model of CSR sees the corporation as an organization consisting of a number of different groups of people, in which the members of each group share more or less common interests. Shareholders, for example, generally seek maximal return on their investments. Emplo… - B. Current Legal Status
Corporate law endorses the constituency model of CSR, although only permissively. As of 2003, forty-one states had enacted “constituency statutes” that authorize management to take into consideration a range of nonshareholder interests in addition to those of shareholders. Importa…
II. The Sustainability Model of CSR
- A. The Model
The sustainability approach to CSR is based on the idea that the corporate entity should remain economically viable over the long run. The corporation must generate profits because survival requires it, but survival most emphatically does not require short-term profit maximization. In fa… - B. Illustrations
The sustainability approach to corporate management accommodates CSR expenditures because it takes into account long-term payoffs that benefit the corporation and thereby its shareholders as well. For transnational corporations doing business in developing countries, sustainability ma…
III. The Prospects For Sustainability CSR
- The economic argument for sustainability CSR ought to have broad appeal. Because it is not based on purely moral or ethical considerations, it avoids standard objections raised against the constituency CSR model based on the interests of shareholders and their claims of privilege vis-à-vis the corporation’s various nonshareholder groups. Further, unless blinded by short-term myop…
Conclusion
- The orthodox model of CSR—which I have termed in this Article the “constituency” model—envisions the corporation as composed of a number of constituencies whose interests often conflict. Policies that are designed to benefit a nonshareholder constituency are assumed to reduce profits and therefore affect shareholder interests adversely. Similarly, strict adherence t…