You know that concern is an economic activity. which is carried out on a regular footing to gain net income. However. you must hold seen business communities passing money on different facets. which is non traveling to give them any net income straightway. For illustration. you must hold seen business communities keeping and developing gardens and Parkss on streets and squares in metropoliss. Some business communities engage themselves in research for bettering the quality of merchandises ; some provide lodging. conveyance. instruction and wellness attention to their employees and their households. In some topographic points business communities provide free medical installation to hapless patients. Sometimes they besides sponsor games and athleticss at national every bit good as international degree. Did you of all time wonder why they do so? Let us larn more about why business communities engage themselves in such activities.

4. 1 Aims

After analyzing this lesson. you will be able to: explicate the construct of societal duty of concern ; appreciate the importance of societal duty ; acknowledge the duty of concern towards different involvement groups ; explicate the construct of societal values and concern moralss ; place the causes of environmental pollution ; and depict the function of concern in preventing and commanding environmental pollution.

4. 2 What is Social Duty

In your day-to-day life. you perform a figure of activities. For illustration. brushing your dentitions. listening to your parents. demoing regard to seniors obeying traffic regulations on route etc. Now

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why do you execute all these activities? It is because you live in a household every bit good as in a society and the members of your household every bit good as the society want you to make all of them. They do several things for you and anticipate something from you. which you must make. The outlooks of the household or society go your duties. which you need to carry through. For illustration. taking attention of your parents or kids. maintaining the route clean by non throwing refuse on it. etc. There are besides duties towards yourself. which you need to carry through.

For illustration. taking nutrient seasonably. traveling to kip early at dark. etc. that keep you fit and takes attention of your wellness. Now you fulfill all these duties by executing certain activities which are called your duties. Any duty you have. peculiarly towards members of the society with whom you interact or towards the society in general. are called your societal duty. The duty of any concern to protect and function public involvement is known as societal duty of concern

This is true in instance of concern besides. As we know. every concern operates within a society. It uses the resources of the society and depends on the society for its operation. This creates an duty on the portion of concern to look after the public assistance of society. So all the activities of the concern should be such that they will non harm. instead they will protect and lend to the involvements of the society. Social duty of concern refers to all such responsibilities and duties of concern directed towards the public assistance of society.

These responsibilities can be a portion of the everyday maps of transporting on concern activity or they may be an extra map of transporting out public assistance activity. Let us take an illustration. A drug-manufacturing house undertakes extended research and therefore. green goodss drugs which are qualitatively superior. It besides provides scholarships or families to the household members of its employees for analyzing abroad. We find. in both the instances. the drug-manufacturing house is transporting out its societal duty. In instance of the former. it is a portion of its everyday concern map while in the latter instance it is a public assistance map.

4. 3 Concept of Social Responsibility

We all know that people engage in concern to gain net income. However. net income devising is non the exclusive map of concern. It performs a figure of societal maps. as it is a portion of the society. It takes attention of those who are instrumental in procuring its being and survival like- the proprietors. investors. employees. consumers and authorities in peculiar and the society and community in general. So. every concern must lend in some manner or the other for their benefit. For illustration. every concern must guarantee a satisfactory rate of return to investors. supply good wage. security and proper working status to its employees. do available quality merchandises at sensible monetary value to its consumers. maintain the environment decently etc. However. while making so two things need to be noted to see it as societal duty of concern.

First. any such activity is non charity. It means that if any concern donates some sum of money to any infirmary or temple or school and college etc. . it is non to be considered as discharge of societal duty because charity does non connote carry throughing duty. Second. any such activity should non be such that it is good for person and bad for others. Suppose a man of affairs makes a batch of money by smuggling or by rip offing clients. and so runs a infirmary to handle hapless patients at low monetary values his actions can non be socially justified. Social duty implies that a man of affairs should non make anything harmful to the society in class of his concern activities.

Therefore. the construct of societal duty discourages business communities from following unjust agencies like black-marketing. billboard. debasement. revenue enhancement equivocation and cheating clients etc. to gain net income. Alternatively. it encourages them to gain net income through wise direction of the concern. by supplying better working and populating conditions to its employees. supplying better merchandises. after sales-service. etc. to its clients and at the same time to command pollution and conserve natural resources.

4. 4 Why should concern be socially responsible

Social duty is a voluntary attempt on the portion of concern to take assorted stairss to fulfill the outlook of the different involvement groups. As you have already learnt. the involvement groups may be proprietors. investors. employees. consumers. authorities and society or community. But the inquiry arises. why should the concern come forward and be responsible towards these involvement groups. Let us see the undermentioned points: I. Public Image – The activities of concern towards the public assistance of the society earn good will and repute for the concern. The net incomes of concern besides depend upon the public image of its activities. Peoples prefer to purchase merchandises of a company that engages itself in assorted societal public assistance programmes. Again. good public image besides attracts honest and competent employees to work with such employers.

Government Regulation – To avoid authorities ordinances business communities should dispatch their responsibilities voluntarily. For illustration. if any concern house pollutes the environment it will of course come under rigorous authorities ordinance. which may finally coerce the house to shut down its concern. Alternatively. the concern house should prosecute itself in keeping a pollution free environment. Survival and Growth -Every concern is a portion of the society. So for its endurance and growing. support from the society is really much necessity. Business utilizes the available resources like power. H2O. land. roads. etc. of the society. So it should be the duty of every concern to pass a portion of its net income for the public assistance of the society. Employee satisfaction – Besides acquiring good wage and working in a healthy ambiance. employees besides expect other installations like proper adjustment. transit. instruction and preparation.

The employers should seek to carry through all the outlook of the employees because employee satisfaction is straight related to productiveness and it is besides required for the long-run prosperity of the administration. For illustration. if concern spends money on preparation of the employees. it will hold more efficient people to work and therefore. gain more net income. Consumer Awareness – Now-a-days consumers have become really witting about their rights. They protest against the supply of inferior and harmful merchandises by organizing different groups. This has made it obligatory for the concern to protect the involvement of the consumers by supplying quality merchandises at the most competitory monetary value.