Social Responsibility of Business and Business Ethics Test - 27

Water gets polluted by releasing highly toxic things and dumping dirty waste-laden water in the clean river water by different factories and manufacturing units.

Cause of ozone layer depletion is human activity, specifically, human-made chemicals that contain chlorine or bromine. Factories and manufacturing units emits harmful gases, smoke and chemicals which cause air pollution.

Social responsibility can enhance a business's reputation and brand image, leading to increased customer loyalty and competitive advantage.

The code of an organization guides the employees, managers, shareholders and organization itself about the behavior in specific situations.  It covers the following area:

• Fair employment practices
• Conflicts among different stakeholders
• Product quality
• Product safety and security
• Honesty
• Adherence to laws etc.

If business is to operate in a society which is full of diverse and complicated problems, it may have Little chance of success.

The ill society endangers the survival of the business.  A better business environment maximizes the profits, growth and development of business. Hence the business should try to solve social problems.

Some factories and vehicles produce a lot of noise.  People living in a noise-polluted area fall victim to many diseases like deafness, violent behavior, mental disorders, etc. Noise-checking instruments should be installed to check noise pollution.

At present both social and business interests are considered complementary to each other. For long-term interest of the business, the belief of the exploitation of society for growth has changed. Business also now considered an essential element of modern society and helps to solve maximum of the social problems.

By assuming various social responsibilities and actively engaging in activities that contribute positively to society, businesses can build goodwill. Goodwill refers to the positive reputation, trust, and esteem that a business earns from its stakeholders, including customers, employees, investors, and the community at large, through its ethical behavior and social responsibility initiatives.

When business firms use eco-friendly methods of production, they are performing social responsibilities towards the Community.

Using eco-friendly methods of production helps to reduce the negative impact on the environment, which benefits the community at large by promoting environmental sustainability, protecting natural resources, and improving overall quality of life.

The discretionary responsibility is a purely voluntary obligation.  The business organisation is not bound to these obligations yet these affect business organizations.  The donations for charitable purposes comes under discretionary responsibility.