Corporate Social Responsibility - Perrier Contamination Crisis Essay

Corporate Social Responsibility - Perrier Contamination Crisis - Essay Example ........................................... 5 2.3 Ethical Nature of Response ..................................................................... 5 3.0 Conclusion ........................................................................................................ 6 Reference List ......................................................................................................... 7 1.0 Introduction To put it simply, corporate social responsibility is about an attitude and vision on the part of a company to follow goals and fulfil obligations that are not merely legally or economically binding, but which also aim at achieving the results and objectives that serve the larger interests of the whole society (tutor2u 2012). It is a commitment on the part of the businesses to be subject to many charitable goals that are ethical and moral in their scope, and aid the economic development of the society while improving and positively contributing to the quality of life of the varied stakeholders like the consumers, employees, the communities in which they operate and the society at large (tutor2u 2012). It is a tilt in the business processes envisioned, planned and managed by a company in the direction of having an overall and beneficial impact on the society. Corporate social responsibility is about a duty on the part of the modern day corporations to be aware of and respond favourably towards the emerging concerns and objectives of the society (tutor2u 2012). It aims to balance the shareholders’ interests with the societal concerns. Varied researchers and academicians have proposed various models that the organizations could follow to manage their corporate social responsibility liabilities. Carroll model of Corporate Social Responsibility is one important model in that context. Carroll classified the varied CSR prerogatives and obligations of the corporations as a pyramid (Carroll 1991). Economic responsibilities constitute the first level of the pyra mid (Carroll 1991). It is the duty of all the corporations to strive to be profitable. It is the profitability objective that sustains all the other types of corporate responsibilities and obligations. Legal responsibilities constitute the second level of Carroll’s pyramid (Carroll 1991). Laws are nothing but a formal codification of what the society considers to be right or wrong. It is important for the companies to obey laws and play by the rules. It is the responsibility of the corporations to operate in a manner that respects the national and international laws. For example it is the duty of the companies to look to it that the products manufactured by them are as per the set quality and safety standards. Ethical responsibilities constitute the next level of this pyramid that is related to the moral conscience of a company (Carroll 1991). It is important that the companies act in a way that is considered to be right and just and that does not intends to harm others. For instance, if a company uses its financial power and influence to access the resources in a third world community, say mineral wealth or oil, by forcibly uprooting the inhabitants in that community, it may turn out to be profitable, but is certainly not ethical. Companies must behave in a manner that upholds the norms and considerations valued by the society. Philanthropic responsibilities constitute the top level of Carroll’s CSR pyramid. It is when the corporations take the initiative to contribute their resources for achieving social good and for