Scribd Logo
Upload

Welcome to Scribd!

  • 722 views

    Social Responsibilities & Ethics in Strategic Management

    Uploaded by

    Usman Bhutta
    The document discusses the social responsibilities and ethics of strategic decision makers. It presents two contrasting views on a business's responsibilities to society. Friedman's traditional view is that a business's only responsibility is to increase profits through legal means. Carroll's view is that businesses have four responsibilities: economic (produce value for society), legal (obey laws), ethical (follow societal norms), and discretionary (voluntary obligations). Managers must balance these responsibilities ethically in formulating strategic plans.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd

    Social Responsibilities & Ethics in Strategic Management

    Uploaded by

    Usman Bhutta
    722 views10 pages
    The document discusses the social responsibilities and ethics of strategic decision makers. It presents two contrasting views on a business's responsibilities to society. Friedman's traditional view is that a business's only responsibility is to increase profits through legal means. Carroll's view is that businesses have four responsibilities: economic (produce value for society), legal (obey laws), ethical (follow societal norms), and discretionary (voluntary obligations). Managers must balance these responsibilities ethically in formulating strategic plans.

    Original Title

    Session-5 (Ch. 3)

    Copyright

    © © All Rights Reserved

    Available Formats

    PPT, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document discusses the social responsibilities and ethics of strategic decision makers. It presents two contrasting views on a business's responsibilities to society. Friedman's traditional view is that a business's only responsibility is to increase profits through legal means. Carroll's view is that businesses have four responsibilities: economic (produce value for society), legal (obey laws), ethical (follow societal norms), and discretionary (voluntary obligations). Managers must balance these responsibilities ethically in formulating strategic plans.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    722 views10 pages

    Social Responsibilities & Ethics in Strategic Management

    Uploaded by

    Usman Bhutta
    The document discusses the social responsibilities and ethics of strategic decision makers. It presents two contrasting views on a business's responsibilities to society. Friedman's traditional view is that a business's only responsibility is to increase profits through legal means. Carroll's view is that businesses have four responsibilities: economic (produce value for society), legal (obey laws), ethical (follow societal norms), and discretionary (voluntary obligations). Managers must balance these responsibilities ethically in formulating strategic plans.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    You are on page 1of 10

    Social Responsibilities & Ethics

    in Strategic Management

    1
    Social Responsibilities of Strategic Decision
    Makers
    • The concept of social responsibility proposes
    that a corporation has responsibilities to society
    that extend beyond making a profit.
    • Strategic decisions often affect more than just the
    corporation.
    • Managers must be able to deal with conflicting
    interests in an ethical manner to formulate a viable
    strategic plan.
    • CSR
    • CSR award
    2
    Responsibilities of business firm
    • What are the responsibilities of a business firm
    and how many of them must be fulfilled?

    • Friedman and Carroll offer two contrasting views


    of the responsibilities of business firms to society.

    3
    Friedman’s Traditional View of Business
    Responsibility

    • There is one and only one social responsibility of


    business:
    • To use its resources and engage in activities designed
    to increase its profits so long as it stays within the rules
    of the game, which is to say, engages in open and free
    competition without deception or fraud.

    4
    Carroll’s Four Responsibilities
    of Business

    • Carroll proposes that the managers of


    business organizations have four
    responsibilities:
    • Economic, legal, ethical, and discretionary

    5
    Carroll’s Four Responsibilities

    6
    7
    Carroll’s Four Responsibilities
    • Economic responsibilities of a business organization’s
    management are to produce goods and services of
    value to society so that the firm may repay its creditors
    and shareholders.
    • Legal responsibilities are defined by governments in
    laws that management is expected to obey.
    • For example, business firms are required to hire and
    promote people based on their credentials/
    qualifications rather than to discriminate on non-job-
    related characteristics such as
    gender, or religion.
    8
    Carroll’s Four Responsibilities
    • Ethical responsibilities of an organization’s
    management are to follow the generally held
    beliefs about behavior in a society.

    • The affected people can get very upset if an


    organization’s management fails to act
    according to generally prevailing ethical values.

    9
    Carroll’s Four Responsibilities
    • Discretionary/flexible responsibilities are the purely
    voluntary obligations a corporation assumes.
    • Examples are philanthropic/as human being
    contributions, training the hard-core unemployed, and
    providing day-care centers.

    10

    You might also like

    pFad - Phonifier reborn

    Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

    Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


    Alternative Proxies:

    Alternative Proxy

    pFad Proxy

    pFad v3 Proxy

    pFad v4 Proxy