Топики 2 курс / Social responsibility in business

Social responsibility in business

Businesses can choose to work in a way that profits only the owners or in ways that benefit the community. Working ethically means acting in ways that are both fair and honest. Nowadays big business is being asked to explain its approach to a growing number of social, ethical and environmental concerns. And it is important for business to consider the implications of what they are doing and the effect it might have on the community and the environment.

To help to solve such concerns business companies founded Business for Social Responsibility (BSR), a non-profit advisory organization whose annual membership includes many top multinationals such as Microsoft, Kraft Foods, Philip Morris, etc. Industries that had avoided the spotlight are finding attention is now focusing on them.

For example, campaigners are beginning to show interest in working conditions in factories in the developing world that make equipment for computer and telecommunications companies. In addition to that, a group of leading banks, including Citigroup and Barclays, promised to avoid giving loans for socially or environmentally questionable projects. Moreover, biggest footwear and clothing brands, including Nike and Reebok, have meanwhile taken voluntary measures through the US Fair Labor Association to increase the transparency of their supply chain. Generally, in the UK it’s reflected in the sharp rise in social and environmental reporting over the past two years.

On the other hand, some sectors remain secretive, including hotels, software and computer services. But they form a decreasing minority as investor interest, regulation and peer pressure combine to force great disclosure.

In the conclusion, I want to say, that it’s really important that nowadays organizations such as Business for Social Responsibility (BSR) exists, because it helps companies understand that they can stay in the market with the help of the customers, environmental and the society in which they operate. Neither financials nor good management will help companies in achieving long term goals. To achieve long term goals they must understand and perform their social and environmental responsibilities and positively effects on the community and the environment.