The view that businesses exists for the good of the society has come under massive scrutiny in recent years. Argument that as long as businesses act legally and ethically they should not concern themselves with the larger social goals is now being challenged world over (Fernando, 2010). As a result, businesses have been forced to be more conscious of their environment and sustainability of their products and processes. Businesses must now look deep into the possible adverse impacts of their operations in the society and consumers. According to John Browne, to divert anger and suspicions that they have created, businesses must reconnect with the society radically (Grant and Miller, 2018). Looking at the case of many multinational corporations such as Nike, Inc, it is clear that there are numerous ethical and social responsibility concerns that businesses grapple that make them bad members of the society. In this regard, the author examines ethical and social responsibility concerns at Nike and other corporations with an aim of determining the best ways through which a business can connect with the society.
Table of Contents
1. Business and its connection to society
2. Introduction
3. Analysis and discussion
3.1. Challenges and ethical dilemmas facing modern corporations
4. Corporate social responsibility
5. Recommendations and suggestions
6. Conclusion
Objectives and Topics
This paper critically examines the intersection of business operations and societal expectations, specifically addressing the ethical challenges and corporate social responsibility (CSR) dilemmas faced by multinational corporations like Nike, Inc. The primary research goal is to identify strategies that allow businesses to remain profitable while fostering a positive and sustainable connection with society.
- The relationship between business conduct and societal impact
- Ethical dilemmas in global manufacturing and subcontracting
- Application of Carroll’s CSR Pyramid in modern management
- Strategies for balancing profit maximization with social responsibility
- The role of corporate leadership in maintaining ethical integrity
Excerpt from the Book
Challenges and ethical dilemmas facing modern corporations
A corporation is a business that is legally independent from its members. In this regard, corporations are legal persons implying that they can incur debts, negotiate contracts, sue or even get sued. Corporations vary in size from local stores to multinational companies such as General Electric or Nike (Jennings, 2008). The larger corporations sell their shares to the public who owns the company. Though separate, the management of corporations is accountable to the share holders. Within the society, a corporation has several roles including earn profits, corporate social responsibility, and active involvement in the society, philanthropy and creation of social value (Lyons, 2013). In the corporation, managers acts as the agents of the shareholders to implement their economic and political ideology. Moreover, the managers need to come up with various policies to address environmental and ethical concerns within the company and the society in general. That is, the corporation needs to be in harmony with society by operating with high moral standards, being accountable to the natural resources and also being transparent in labour relations (Beresin, 2010).
To realise their social, economic, political, environmental and ethical responsibilities within the society, the corporation should be able to overcome various internal and external challenges. First, the corporation must develop an effective strategy to maximize scarce resources. The organisation should be able to balance its lofty goals with the limited resources available to it. Second, the corporation management must ensure that the corporation’s operations are relevant not only to the employees and the business (Grant and Miller, 2018). Despite the changes in technology and other environmental factors, the management must remain consistent in offering leadership while also remaining agile in responding to market disruptions. Third, corporations must find ways to attract and retain good employees. The management must recognize that in modern business the level of competition is relatively high (Madsen, 2014). Apart from the internal and external challenges facing corporations’ management, they must also ensure that they operate in an ethical manner.
Summary of Chapters
Business and its connection to society: Sets the stage by highlighting the growing scrutiny of businesses and their radical need to reconnect with society.
Introduction: Outlines the shift in corporate perception, moving from profit-only models toward a shared value strategy that benefits both business and society.
Analysis and discussion: Examines the legal nature of corporations and the internal and external challenges they face in balancing profitability with ethical conduct.
Challenges and ethical dilemmas facing modern corporations: Analyzes specific dilemmas such as subcontracting, advertising costs, brand protection on social media, and employee welfare.
Corporate social responsibility: Defines CSR as a voluntary, positive contribution to the environment and community, supported by the framework of Carroll’s CSR Pyramid.
Recommendations and suggestions: Proposes actionable strategies for managers, including the design of clear ethical codes and active engagement in social issues.
Conclusion: Synthesizes the main findings, emphasizing that successful corporations must integrate CSR into their strategic core to survive and thrive.
Keywords
Business Ethics, Corporate Social Responsibility, CSR, Carroll’s CSR Pyramid, Nike, Sustainability, Ethical Dilemmas, Profit Maximization, Social Value, Shared Value Strategy, Stakeholder Management, Corporate Reputation, Global Manufacturing, Business Conduct, Social Responsibility.
Frequently Asked Questions
What is the primary focus of this paper?
The paper focuses on the critical analysis of the relationship between modern corporations and society, specifically exploring how companies navigate ethical dilemmas and CSR requirements.
What are the main thematic fields discussed?
The key themes include business ethics, corporate social responsibility, the challenges of global manufacturing, and the reconciliation of corporate profits with social contributions.
What is the core objective of the research?
The objective is to determine how corporations, using the case of Nike, can successfully connect with society while maintaining profitability and competitiveness.
Which methodology is utilized in the study?
The study employs a qualitative analysis of existing literature and case studies, applying the theoretical framework of Carroll’s CSR Pyramid to real-world corporate scenarios.
What topics are covered in the main body of the text?
The body covers the legal nature of corporations, various business and ethical dilemmas, the definition and implementation of CSR, and practical recommendations for management.
Which keywords best characterize this work?
Key terms include Business Ethics, CSR, Carroll’s Pyramid, Stakeholder Management, Sustainability, and Corporate Reputation.
How does the author define an "ethical dilemma" in a corporate context?
An ethical dilemma is defined as a decision-making problem where a manager must choose between two moral imperatives, neither of which is fully acceptable, often arising from conflicting organizational and social values.
Why is the "Carroll’s CSR Pyramid" significant to the arguments made in the paper?
It provides a structural framework that helps management identify, prioritize, and balance different corporate responsibilities: economic, legal, ethical, and philanthropic.
What specific manufacturing issues does the paper highlight regarding Nike?
The paper discusses the dilemma of subcontracting manufacturing to foreign countries with low wages and poor working conditions, which lowers costs but poses severe reputational and ethical risks.
What recommendation does the author give to management regarding ethical codes?
The author recommends that management must design simple, understandable corporate ethics that apply to all levels, lead by acting ethically, and enforce rules that extend to partners and suppliers.
- Arbeit zitieren
- Difrine Madara (Autor:in), 2019, Business and its connection to society, München, GRIN Verlag, https://www.grin.com/document/512920
