Social Responsibility of Business and Business Ethics Test - 1

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.

Code of an organisation guides the employees, managers, sharehoders and organisation itself about the behaviour in specific situations.  It covers area

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

The ill society endangers the survival of the business.  Better business environment maximises 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 defness, violent behaviour, mental disorder, 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 exploitation of society for growth has changed.

Business also now considered essential element of modern society and helping to solve maximum of the social problems.

The discretionary responsibility is the purely voluntary obligation.  The business organisation is not bound to these obligations yet these affect  business organisations.  The donations for chatitable purposes comes under discretionery responsibility.

Land pollution is caused by dumping of toxic wastages on land. It changes the physical, chemical and biological characteristics of land and deteriorates the quality of land make it unfit for cultivation.

Responsibility towards community

• It should behave as a good citizen and should act according to the well accepted values of the society.
• Not to create pollution
• To respect the laws of the country
• To contribute to the raising of standard of living 

Social Responsibility refers to the obligations of the business to take those decisions and to perform those actions which are considered desirable in respect of objectives and values of the society whereas Legal responsibility is a type of social responsibility where business is required to carry out business activities within the laws. Thus social responsibility is broader term.