Business Community Involvement Assignment

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Attaining competitive advantage through corporate social responsibility

Social responsibility is the obligation that decision makers in a business or project make in to improve the welfare of the business as well as the surrounding society . A business cannot survive without interacting with surrounding community and therefore the hindrance of those communities must be accounted for when making business policy

A study of various companies has shown that corporation can do well by doing good . Well known global companies such as coca-cola

, Pepsi , star buck , Toyota , IBM , and McDonald have proven that by taking responsibility for the well being of the environment and society , they can differentiate their brand and reputation as well as their services and product . Therefore companies which practice corporate social responsibility not only gain competitive advantage over their rivals but also generate significant return to their business (Crowther Rayman , 2003

There is basically two dimension of social responsibility which includes the classical dimension and the modern view . To the classical believers expecting a manager to act in a socially responsible way is making him a public employee and not employee of private enterprise . Therefore they believe that all profit generated by the business should be ploughed back for investment . A classical believer would not participate in reducing poverty , assisting disadvantaged group , reducing price for the benefit of consumers , and

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participating in charitable organization . However in the modern view a manger is expected to generate enough profit for the...