To what extent is Corporate Social Responsibility beneficial to a company’s performance
Corporate Social Responsibility is a philosophy that relates to a business being a part of the society, so acts in a way that not only advances its own firm but also serves the society as well. Good ethics is the cornerstone of sustainable development. In the long run, unethical behavior may harm customers and the society as a whole. Furthermore, it damages a company’s image, efficiency and effectiveness in operations. In some extreme cases, it may jeopardize the company’s survival. As a matter of fact, the behavior of a firm will be judged by the groups of the society. Their judgments and responses will have an impact on the performance of the firm. The performance of the corporations refers to the profitability and image from the perspectives of the consumers and employees. Thus, as noted in Corporate Social Responsibility Corporation (2000), a corporation is not only responsible for itself, but also employees, community and even the globe. This paper aims at discovering how CSR benefits a company, from the perspective of its own industry, community and the existing and potential customers. At the end, this will enhance a firm’s performance in the long-term.
Corporations are interdependent within the same industry; unethical behavior generated by one firm will jeopardize the whole industry’s workforce. It would seem that corporations within the same industry are competitors. In fact, they need to work together with the aim of building up a healthy and safe labor environment. According to Porter and Kramer (2006), education, health care and equal opportunities are the crucial elements to a productive workforce. By providing adequate training and education to employees, it will lower the internal costs of accidents and enhance the morale of the employees. So, corporations within the same industry have their responsibility to promote a safe working environment in...
Please join StudyMode to read the full document