Ethics and Social Responsibility
February 26, 2013
* Ethics and Social Responsibility
* The first thing that comes to mind when conducting business is how to make a profit. As companies find ways to maximize shareholders’ wealth, ethics and social responsibility play an important role in developing the strategic plan to get them there. How corporations conduct their business does not only affect the community and the public in general but the stakeholders as well. Some ethical and responsible decisions may seem to have a negative impact to the financial performance of a company but in turn they will benefit in other ways. McDonalds decided to make such decisions and they have benefited the company worldwide. According to Wheelen and Hunger (2010) ,”social responsibility proposes that a private corporation has responsibilities to society that extend beyond making a profit” (p 72). The obligation to do the right thing is something that must be considered beyond the needs and agendas of the stakeholders. Archie Carroll identified four responsibilities that managers should have: economic, legal, ethical, and discretionary. These four responsibilities make business sense. First, a company has the responsibility to strengthen its economic health; second, a company should always abide by the law; third, the company should follow the general beliefs of society; and last, a company should conduct acts at their discretion as obligations to the community (Wheelen & Hunger, p 73, 2010). Sometimes individuals take on the social responsibility in place of the company as it was the case of Morgan Spurlock with McDonalds on his film documentary Super Size Me. As a consequence McDonalds eliminated the super size option on their menu and launched an initiative called Eat Smart, Be Active in 2003. According to McDonalds (2013), “McDonald's brand mission is to be our customers' favorite place and way to...
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