Review of Milton Friedman's essay 'The social responsibility of business is to increase its profits.'
Evaluating Examples of Three Companies Supporting Freeman’s Social Responsibility and Sustainability Strategy at the Operational level
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Evaluating Examples of Three Companies Supporting Freeman’s Social Responsibility and Sustainability Strategy at the Operational level
The critical example of a company that is directly/positively integrated with the framework of stakeholder theory presented by Freeman in the modern corporate setting is Unilever. With various product offerings in different customer usage categories, Unilever Corporation is renowned for maintaining effective corporate social responsibility practices. It manages to operate under socially responsible business processes in which the company is developing the optimum level of profitability with ethical considerations and deploying green business operations. From acquiring raw materials, using sustainable work-in-process, including an all-important value-chain stream, and delivering final products to retail stores, all the processes are operated under specific viable legal, ethical, and economic processes. The second company aligned with CSR and sustainable business strategy at the business operations level is Lego. It is the world’s leading entertainment, kid’s toys, or other products brand with practical organizational standards, policies, and procedures based on equity, justice, or environmental sustainability. Lego takes pride in performing sustainable operations with its employee recruitment or selection strategy, taking care of the environment, and providing social security, compensation or reward using optimal performance metrics. The third company’s example involved in sustainable business internal or external operations and maintaining its effective CSR practices is H&M Corporation. It is a Swedish giant global/multinational retail clothing brand. The company maintains a strong repute/brand image as a socially responsible company for doing core business operations of fashion clothing for men, women, and teenagers. Communitarianism According to Bell (2012), firms must learn to treat their workers, managers, customers, suppliers, and stakeholders as cherished society. For this to work, it necessitates the incarnation of communitarian ideologies in each venture in the market. The communitarian theory aims to bring a society of individuals with built-in morals that confine wrongdoing with the law as the guiding mechanism. When society learns to differentiate between good and evil and then sees them as either good or bad, their disposition to identify things in that way will be incorporated into an individual DNA. However, would a communitarian way of living by businesses motivate profit-making or lead to serving the community? Additionally, will any society accommodate the principle of communitarian? It is hard in a capitalist economy and hard financial times to accommodate a business firm that favors the community at its expense (Khatchadourian, 2011). Per this ideology, a venture should be good and take care of all the problems in the community, which is an impractical problem to handle (Sage, 2012; Bell, 2015). Download 27.28 Kb. Do'stlaringiz bilan baham: |
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