The Fundamentals of Corporate Social Responsibility - Research Paper Example

? Corporate social responsibility Corporate social responsibility Introduction Starting an enterprise or corporation is based on two fundamentals; one is the economic growth (business development) and second is the organization social responsibility. All corporations comprise a social responsibility policy, but there are corporations which fall in more responsible domain like pharmaceuticals, whose remedies and cures are directly associated to people lives and sustenance (Horrigan, 2010). Leading a corporation is a combination of society and economics, and organizations which get out of these fundamentals have less chance to succeed in the real sense (Horrigan, 2010). It is not right to say that Corporations are excluded from societies; they are part of it and hence have a role to play within in the society circle. It is the society which gives them the name and recognition, and in return there is much to be given back to the society as well (Asongu, 2007). A society could be broad in the spectrum like an oil company whose impacts are there for entire environmental system, similarly a society could be small like for a grocery store whose items are only benefited to the specified group of people. Hence Corporations are part of societies and to survive in business they have to understand the societal norms and responsibilities (Horrigan, 2010). Analysis based Point of Opinion According to scholarly literature, it can be indicated that corporate social responsibility is a modern concept and has been compiled from various definitions. According to modern literature, corporate social responsibility is a business norm that includes all the business components in one domain, like it includes buyers, consumers, share holders, employees, and communities which have to be served in one system (Asongu, 2007). Hence CSR is a broad concept, a concept that reaches out to each component attached to its system (Asongu, 2007). Today there is a harsh truth that has been established, one bitter reality that replaces the notion of corporate social responsibility quite often. There are several medical companies that keep stake holders on the preference, more than the life of people who are giving them the business and the entire benefit (Hirsch, 2008). In Worlds tropical regions like South Africa and North India, there have been infectious disease spreading, like malaria and leishmaniasis for which there is no cure provided just because of high poverty and fewer paybacks to the pharmaceuticals (Hirsch, 2008). On the other side, there are no cures for chronic diseases (tuberculosis) as pharmaceuticals have forgotten the moral responsibility and have prioritized wealthy attainments than society. The cures are there but the will is not and due to economic reasons and not scientific, pharmaceuticals have stopped to research and develop. It is all because the priority is wealth and money, so the norms of society, virtuousness and morality have got disappeared in the tropical regions (Hirsch, 2008). From the modern perspective, it is not wrong to say that virtue and social responsibility are just matters of the book and scripture and not more than that. According to Lynn Payer (author of Disease-Mongers, 1992) medicine industry has been dominant due to several reasons, one of the main reason is disease mongering, a concept that brutally destroys the notion of corporate social responsibility (Dossey, 2010). In the modern system, medicine industry (pharmaceuticals) generates more than one trillion dollars each year. One of the secrets for such dominating figures on revenues is disease mongering “expanding diseases and developing the demand” (Dossey, 2010). Out of the trillion, billions are spent on advertisement and marketing campaigns, which is all to bring response and acceptation from the customer. One harsh fact is that patients are customers, customers that bring demand for the industry. Hence it is not harsh to say that the system of 21st century itself is violating the concept of corporate social responsibility, where there are only few (corporations) that are trying to adjust the notion in the true moral way (Dossey, 2010). Compiling Truth and Reality In several investigations, it has been found that medicine killing is brutal than wars or combat killing. It is a harsh fact but true to reflect the violent nature of the corporate. One simple example is the obscurity of true information which pharmaceuticals do to promote synthetic drugs in the market (Rath Health Foundation, 2012). A fact that Vitamin C is a cure for heart diseases, like it can stabilize arteries, has been remained obscured since centuries (Rath Health Foundation, 2012). Meanwhile there are drugs like “thalidomide” that cause flipper-like limbs, heart defects, and other malformation problems in newly born infants, are further examples of obscurity. The case of thalidomide was uncovered when 10,000 babies were recorded as victims of the deceiving synthetic drug (1960) (Cavanaugh, 2001). The researches got banned and kept away from the public, just because they were uncovering the real face of the corporate. Hence it is no way hard to state that synthetic drugs are violators of corporate social responsibility as they are not for the benefit of the society/the public but for the makers of the drugs (pharmaceuticals-manufacturers) (Cavanaugh, 2001). What company should do? From past empirical studies, it is evident to say that organizations cannot compel “CSR”, unless and until there is leadership to stand and support such vital noble mission (Asongu, 2007). Corporate social responsibility is a culture, a belief that comes from top to bottom in an organization, and when a company knows it from the top, there is no hurdle to make it a system “a socially responsible system” (Asongu, 2007). Corporate social responsibility is a matter of leadership; the more the leaders are concerned to promote it, the more the organization becomes socially apprehensive. So the first thing to do is that leaders should assert vision, they should be faith travelers and admirers of morality. This is what will give them the dedication, motivation and a will to work in the direction of society and not against it. This is all what makes CSR strong and replicable, as founders are sincere and committed to giving back to the society (Asongu, 2007). When owners, leaders and stakeholders have the same vision, it is obvious that CSR is travelled all across the system. This is how a strong leadership can make a difference, no matter the company is small like a grocery store big like a pharmaceutical to connect with the large major populace (Asongu, 2007). Conclusion When an enterprise is functional, it is part of a society and its system. There is no way a corporation gets excluded from the society, because it is the relationship which it carries with the society for reputation and recognition respectively (Horrigan, 2010). Corporate social responsibility is one form of relationship which organization sets with its society. A corporate having a CSR policy adaptation includes different segments in its domain like it includes employees, buyers, consumers, shareholders, and communities which are part of its societal system and need to be delivered (Asongu, 2007). There are pharmaceuticals which have been violating the concepts of CSR and its fundamentals, like the makers of synthetic drugs (artificial drugs) which just cure the symptoms and not the actual diseases. Similarly information obscurity is part of the deception system, where many corporations have tried to hide the true cure information (Dossey, 2010). A harsh fact is that the medicine industry is just to escalate the market, where the concerns of humanity and life are forgotten and disappeared (Hirsch, 2008). If there is leadership with a vision to bring corporate social responsibility, there is no obstacle that can come in the middle of establishing such vital notion (Asongu, 2007). Organizations have to be strong from the top, as this is one secret that replicates the concept of CSR in all organizations where it is a small organization like a grocery store or a large organization like pharmaceutical (Asongu, 2007). Reference List Asongu, J. (2007). Strategic Corporate Social Responsibility in Practice. Atlanta: Greenview Publishing . Cavanaugh, J. (2001). Pregnant Pause. Retrieved December 17, 2012, from www.jhu.edu: http://www.jhu.edu/jhumag/0901web/pregnant.html Dossey, L. (2010, June 6). Creating Disease: Big Pharma and Disease Mongering. Retrieved December 17, 2012, from www.huffingtonpost.com: http://www.huffingtonpost.com/dr-larry-dossey/big-pharma-health-care-cr_b_613311.html Hirsch, M. (2008). Side Effects of Corporate Greed: Pharmaceutical Companies Need a Dose of CSR. MN Journal of Law, Science and Technology , 607-636. Horrigan, B. (2010). Corporate Social Responsibility in the 21st Century: Debates, Models and Practices. Northampton: Edward Elgar Publishing. Rath Health Foundation. (2012). The Pharmaceutical "Business with Disease". Retrieved December 17, 2012, from www4.dr-rath-foundation.org: http://www4.dr-rath-foundation.org/PHARMACEUTICAL_BUSINESS/pharmaceutical_industry.htm Read More