The paper "The Concept of Corporate Social Responsibility" is a great example of management coursework. Corporate social responsibility has grown tremendously owing to the realisation that business does not exist as a profit minting mechanism, but also as moral agents that are responsible for the whole society which supports their existence. As such, business is called to be proactive to engage in corporate ventures that promote the well being of the whole society irrespective of the economic return by adopting deontological aspirations. The beauty of such engagements is that it empowers a business organisation to be in a position to meet expectations and balance them.
This leads to the reduction of friction and attainment of a harmonious working environment. Owing to such realisations, the aim of this paper is to identify three critical issues pertaining to undertaking in corporate social responsibility. The first is to conceptualise the term; secondly, outline associated advantages and lastly, pinpoint possible advantages to be experienced while pursuing corporate social responsibility. The paper opines that corporate social responsibility is about meeting expectations with deontological aspirations in the mind. In regard, to the associated advantages, the paper argues that engaging in corporate social responsibility is critical in helping organisations address public good/ well being by churning out best practices that address environmental issues and philanthropy.
Additionally, engagement is such activities are significant in the creation of a positive reputation, therefore, leading to enhanced brand awareness. Finally, the paper points out that corporate social responsibility is potential in aiding firms to avoid legal fines and thus, delivering required institutional accountability. On the other hand, the paper argues that the associated disadvantage relates to the substantive cost incurred by organisations that might equally affect the cost leadership strategy of an organisation.
Secondly, there various confusing standards that make implementation difficult. Corporate social responsibility can be best conceptualised in regard to the meeting of stakeholders expectations. In any given business environment, there various vested varying and competing interests. For instance, stockholders/ shareholders under the theme of shareholder value expect to be rewarded for investing in the business and this implies that business has to make a profit. On the other hand, the consumer expects product and services that are able to meet their needs.
Additionally, the government as a regulator expects business organisations to adhere to expected legal standards and finally the public at large expect organisations to adhere to moral standards while conducting business. As such corporate social responsibility is the process of ensuring a balance is a strike between various business stakeholders so as to guarantee institutional accountability (Benabou & Tirole, 2010, p. 1). In another perspective, corporate social responsibility is best understood within the framework of normative non-consequentialism theory and deontological expectations that go beyond the profit-oriented utilitarian approach of doing business (Iamandi, 2007, p. 6).
In this regard, business as a creation of society and the moral agent is expected to adhere to moral expectations (Donaldson & Dunfee, 1994, p. 254). For instance, under deontological expectations business are expected to engage in what is morally upright by not only placing profitability at the forefront but also the good of the public (Iamandi, 2007, p. 7). As such this is why most business organisations engage in events/ activities that promote public good such as sustainable development, charitable events such as support for needy and sponsorship of events (ASX Corporate Governance Council, 2007, p. 21).