Does a corporation have social responsibilities?

[hadhrmi]

If yes,How do they use social responsibilities to increse its profit?

[snarkymikey]

Corps lay off people by the thousands. How is that socially responsible when you cut off income from a family in the community the corporation resides in?

[stargazer2006]

earliest understanding was that a company was purely to safeguard the interests of the investor, but now it is increasingly evident that a companies activities affect the lives of many stakeholders - citizens, employees, suppliers, creditors and such.

The social responsibility to each is somewhat different.

to employees - the company shoudl provide stable and healthy working environment and an equitable manner of helping them achieve their own personal goals

to supplier and creditors - to abide by legal provisions

to bankers and regulators - to abide with the laws of the country

to citizens and customers - to provide services and goods which would not harm them or the environment

[Frank Castle]

No

[mikaela]

of course! every corporation has to be responsible with everything that it does. it should, as much as possible try to see to it that each of its stakeholders (people affected by its actions, from investors, employees, suppliers, customers and many others) are benefited with its actions. it should always try to consider the welfare of these stakeholders in making its decisions.

this responsibility is intrinsic to every corporation... however, the big question is whether corporations are aware and working towards the fulfillment of such responsibility.

when a corporation is fully aware of its social responsibilities and it is able to satisfy them, then probably, fulfilling the said responsibilities will surely increase its profits.

for example, if a corporation care for its employees, then its employees will be more willing and loyal to do their best in performing their tasks....

if a corporation makes products that are proven to be beneficial to its customers, then it will be able to enlarge its market, thus increasing its profits.

if a corporation has a good relationship with its suppliers then it will be able to get only the best raw materials at lower cost, thus increasing its profits...

and so on....