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Corporate responsibility - Essay Example

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Nexen (2009) has defined Corporate Social responsibility (CSR) as the “commitment to behave ethically and contribute to economic development while improving the quality of life of our workforce and their families as well as the local community at large” (Nexen, 2009). Kotler…
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Corporate responsibility
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Corporate responsibility

Download file to see previous pages... In any case, CSR is a new term which was established in the corporate world only at the beginning of the twenty first century. Apart from making products useful to the society and keeping good relationships with the employees and the community, it is the responsibility of the big companies to give something in return to the community since they are exploiting the community resources very much. CSR has gained prominence in the current business circle since big companies realized that they cannot survive in a community for a longer period if they fail to do something for the community. This paper briefly explains the importance of CSR in the current market environment with the help of examples of companies which show excellent CSR and companies which show poor CSR.
Generally speaking, all the companies should focus on the quality of their management and the quantity of their impact on society in various areas (Baker, n.d). Numerous parameters can affect a company while it is operating in a community (See the figure given below). All the parameters mentioned in the figure are influencing company operations in one way or other. Since the company is operating in a community environment, it cannot stay away from the community issues
Hawkins (2006) has mentioned that the companies cannot stay away from their CSR since the society provides both customers and resources to fulfill the business objectives of them (Hawkins, 2006, p.2). Anything happening in the society can affect the organization positively or negatively and hence they cannot neglect the needs of the community. For example, the recent recession has destroyed the financial backbone of many people. It is the duty of the corporate world to come out for the rescue of the people since a financially poor community may not be good for the future growth prospects of the companies.
Baker (n. d) has mentioned that different countries have different models ...Download file to see next pagesRead More
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