Topic > Corporate Social Responsibility - 1268

Many people believe they have a social responsibility to take care of their community and the people in it. The community can expand from a local and regional to a national and international scope. Social responsibility is not limited to individuals, but many companies and organizations have joined the call for social responsibility. Corporate social responsibility, CSR, is when businesses and corporations make it a priority in their operations. Two questions come to mind: Why does a company need to practice CSR and how can it do so? To address why companies need to practice CSR, Liu and Liu in their article “Implementing External Corporate Social Responsibility Strategies Through Organizational Design and Operations” , the authors, Liu and Liu, discuss the need for CSR in businesses. The moral standard of the company determines its obligations towards its stakeholders, external and internal, and its commitment to CSR. Three things make up CSR: “what these moral standards should be, who the stakeholders are, and what kind of responsibilities companies should accept” (Liu and Liu, 2009, p. 79). For many years, a company's primary focus has been its shareholders. As companies have broadened their focus, stakeholder needs have a higher priority. Some companies have neglected their external stakeholders. Chinese companies show more concern for internal stakeholders, shareholders and employees, and rarely consider external shareholders (Liu and Liu, 2009, p. 79). Responding to external stakeholders has its benefits. Public attention to the company's CSR has its commercial benefits. External stakeholders' perception of a company's external performance, its finances, the quality... of the document... benefits many in a company's community. Stakeholders provide valuable input in determining which CSR best fits the company's philosophy and moral code. With input from global stakeholders, a company may discover that the CSR mandates of foreign employees, consumers, and communities differ from those of their home countries. Works Cited Liu, S., & Liu, L. (2009). Implementation of external corporate social responsibility strategies through organizational design and operation. Journal of International Business Ethics, 2, 79-83. Retrieved from www.americanscholarspress.com/content/BusEth_Abstract/v2n109-art8.pdfMcKnight, L. (2011). Demystifying corporate social responsibility: Four key steps to success. Community Foundation of Greater Kansas City. Retrieved from www.gkccf.org/sites/default/files/resources/2011-GKCCF-White-Paper-Demystifying-CSR.pdf