Corporate Responsibility

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We expect businesses to produce goods and services efficiently and cost effective, but that does not constitute social responsibility to consumers. The book brings out several key issues about the disadvantages of social responsibility. For example the cigarette industry was extremely effected by social responsibility. Cigarette prices in the last 5 years has dramatically increased due to government intervention caused by societies demands. Managing societies demands and the organizations demand will create conflicts and problems. Adopting social responsibility decreases profit due to the modification that a company might have to enhance to their product in order to satisfy the public. On their advertisements they had to place warnings on their products, explaining that it may be related to causes of cancer. Business corporations can loose sight of its corporate adjective, and forget that its primary responsibility is maximization of shareholder value. Cigarette companies had to re-market their products.

The general public knew that the use of tobacco products may cause cancer but they needed an escape goat. Even though an organization might implement the process of social responsibility consumers may take the ultimate hit. nsibility denies the managers ability to focus on the companies goals and to make decisions that will benefit the shareholder and the company. The key to a successful business if gaining profit. This commitment to maximize shareholder value can lie in jeopardy.

Common topics in this essay:
, social responsibility, social responsibility consumers, adopting social responsibility, societies demands, adopting social, responsibility consumers, due modification, shareholder value, corporate responsibility,

Approximate Word count = 349
Approximate Pages = 1 (250 words per page double spaced)

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