Foundation in Business

Topic 6 & 7  introduces you to Corporate Social Responsibility (CSR).

Corporate Social Responsibility (CSR) is the idea that a company should play a positive role in the community and consider the environmental and social impact of business decisions. It is closely linked to sustainability − creating economic, social, and environmental value – and ESG, which stands for Environmental, Social, and Governance. All three focus on non-financial factors that companies, large and small, should consider when making business decisions.

In recent years, there has been a shift from CSR to social purpose. Many companies have pivoted from having a community investment strategy and a ‘nice to have’ mindset to adopting a holistic approach in which their mission is built into everything they do.

CSR can involve a broad scope of approaches and initiatives—everything from sustainable practices to community involvement. Customers increasingly expect responsible behaviour from companies they do business with.

Upon completion of this topic, students should be able to:

1.      Explain 4 types of corporate social responsibility.

2.      Explain the difference between socioeconomic view and the classical view; and

3.      Explain 3 differences between social responsibility and social responsiveness.