1. Complete 1-6. Look at attachments. Question is on the last slide: Explore

Corporate Social Responsibility BUS 682 Dr. Trivedi Balancing Multiple Responsibilities Multiple responsibilities of business include Economic responsibilities (that have to do with $$$) Social/Environmental responsibilities (that have to do with society, or the natural environment) Legal responsibilities (that have to do with the law) Ethical/moral responsibilities (that have to do with your personal ethics or morality) 1 1 > Challenge is to balance all of the above Successful firms find ways to meets all the above 3-3 Corporate Power and Responsibility EQUAL PROTECTION U.S. CORPORATIONS BLAGO GameStop YWVERKER POWER TO THE PLAYERS 3-4 Corporate Social Responsibility (CSR) A business should act in a way that enhances society and its inhabitants and be held accountable for any of its actions that affect people, their communities, and their environment DO NO HARM May be able to correct for wrongs done May use funds to have a positive social impact 3 - 5 Show me the money Original Artist Reproduction rights obtainable from www.Cartoon Stock.com Okay, we need a campaign to tell the public that we put social responsibility ahead of profits so we can make more profits. > Do socially responsible companies sacrifice profits to promote social good? Studies comparing CSR with firm performance show there may be some benefit, but there is no consensus yet. Some consumers pay attention to CSR, others do not (Competing for different consumers!) What is strategic CSR? Have some performance- based intent as well search ID: bstn35 1 leos 3-6 Ultimate CSR: Serving the Base of the Pyramid The term base of the pyramid (BOP) = the nearly 4 billion who earn less than $2.50 per day > Ultimate social responsibility to society: bringing products and services to these underserved people > Example: microfinance provide loans to BoP clients who traditionally lack access to banking 3-7 Spectrum of responsibility Corporate philanthropy (corporate giving) > Environmentally responsible firm Firm that sells products and services for poor and vulnerable populations Socially responsible firm (labor, sourcing, communities) Firm with embedded ethics (corporate credo, etc.) Social Enterprise 3 - 8 The Social Enterprise A business that adopts social benefits as its core mission > An organization that uses business strategies for the purpose of improving human and environmental well-being Its primary purpose is not to maximize returns to shareholders To get tax benefits for meeting both social and financial goals, a business can apply to be a Benefiit corp (B corp) Must prove this by meeting set standards 1 3-9 Sync Session: The CSR Debate THE CSR FASHION SHOW AND HERE'S THE HOT NEW LOOK EVERY CEO IS WEARING THIS SEASON - CORPORATE SOCIAL RESPONSIBILITY Isn't it a good thing? Corporations have power, so they should use it for good. > Is it just image, or greenwashing? > Or is it (instead) the government's responsibility to protect society? J I'M TOO SEXY FOR THIS CARBON FOOTPRINT... 3 - 10 Review > Corporate power responsibility? Balancing act: economic, social/environmental, legal, moral responsibilities Meaning of CSR Responsibility less profit? Strategic CSR > BOP Responsibility The social enterprise The B-Corp The CSR Debate 3 - 12 Explore... 1. Identify 2 major consumer-facing companies (1 you think may be responsible, one you think is not). 2. Look up their most recent CSR reports 3. Read as much as you can in 3 minutes (for each company). Are you surprised? Do you think this CSR is deep or shallow? 4. Now look up any news articles about this company. Are their claims disputed? 5. Think to yourself: Do you think this company is responsible? Why or why not? 6. Now look up one social enterprise OR one b-corp (repeat steps 2-5)