...Should Social Responsibility and Business Ethics serve a role in Corporations? NorthCentral University Abstract When you turn on the television, surf the internet or browse the Wall Street Journal the terms – business ethics and social responsibility are discussed. Recently, the Gulf coast oil spill has questioned the social responsibility of British Petroleum. However, can the terms business ethics and social responsibility apply to corporations? A review of two articles - “What is business ethics?” by P. Drucker and “The social responsibility of business to increase its profits written” by M. Friedman evaluates the two ethical terms. These articles suggest both business ethics and social responsibility should not apply to corporations. The focus of this paper will compare and contrast two approaches to business ethics. The conflicting objectives between the two parties will be analyzed. Lastly, my view and definition of business ethics and social responsibility will be conversed. Research for this paper consists primarily of peer reviewed articles and published articles. Should Social Responsibility and Business Ethics serve a role in Corporations? During the twenty- first century, businesses are confronted with many different responsibilities. Each responsibility must be address while ensuring obligations to stakeholders, special interest groups, employees and the environment. Businesses are expected to have very strong ethics, but often this is not the...
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...Discuss the Role and Impacts of Transnational Corporations in the Global Economy (40 marks) Transnational Corporations (TNCs) are companies which are able to co-ordinate and control its production, in more than one country during economic globalisation, examples of which include Nike, McDonalds and IKEA. These companies use differences between a country’s cost of production, natural resources, labour and state incentives to their advantage. This allows them to spread their resources and production between locations globally to minimise cost to the company. In recent decades the increasing wealth of TNCs has led to more dominated roles in the global affairs this has many impacts on the economy, global population and environment both positively and negatively. Transnational corporations have a very large role to play in the global economy. With the economies of developing countries, such as China and Brazil, generally growing due to the exchange of information and goods (globalisation) companies are keener to invest in them to increase their turnovers and overall development. TNCs have globally increased new job opportunities and new tax revenues even for the poorest of countries, by doing so they have contributed in reducing the levels of world poverty and have improved infrastructure for developing countries. TNCs are also incredibly wealthy. Ford and General Motors are two companies which exemplify the wealth of TNCs. Their combined annual income is equal to the GDP of all...
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...different than our own increases, communicating with one another creates obstacles we normally wouldn’t face when interacting with those from our own culture. This presents the peculiar problem for the business because it must train managers to effectively communicate within the constructs of different cultural norms and values. Communicating to others the importance of diversity in multinational corporations is a difficult task because it essentially involves asking others to reject the idea of their culture being superior to others. As O’Rourke (2010) points out, “failures in an overseas business setting most frequently result from an inability to understand and adapt to foreign ways of thinking and acting, rather than from technical or professional incompetence,” (p. 284). Regardless of difficulty, if a business is going to remain competitive as a multinational corporation, it is absolutely imperative that managers successfully communicate with individuals from different cultures. I chose to research multi-cultural management strategies because I understand how multi-national corporations are growing in number and size. Understanding why some are more successful in the global marketplace than...
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...Case study: Michael Novak: Capitalism and the corporation The problem investigated is the growth of corporations and capitalism to the extent that they become unavoidably inseparable in order to maintain a cohesive, civil society. Corporations have been with humanity since the beginning of organized government. Capitalism can be loosely defined as the economic freedom to allow for the building of wealth, both individually and corporately. In order to provide for that freedom, governments must be in one accord with corporations to that end. Adam Smith’s writings tell us in the course of history that countries may finally become a “Nation of Commerce” as part of a natural progression. He further suggests an individual’s economy is inevitably woven into the fabric of society and that fabric should be allowed to grow without the interference of politics, which we can fairly judge as governments of all kinds (Smith, 1776). To this point, both Smith and Novak concur that, “sources of private capital and private wealth, independent of the state, are crucial to the survival of liberty”. (Novak, 1997, p. 32) The American corporation faces the responsibility of creating a social good beyond the four reasons given by Michael Novak. First, it creates jobs. Second, it provides desirable goods and services. Third, through its profits it creates wealth that did not exist before. Fourth, it is a private social instrument, independent of the state, for the moral and material support of other...
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...Executive Summary This report examines interests of each role in social members and evaluates power relations in society, which covers government, corporations and civil society. Research method is covered a literature review which is based on quality academic journal articles, texts and research institutes’ materials. The report clarifies each member’s interaction and its power residents. This power resident and relationship can be reformed through social agenda setting. There is possibility that power-balanced society in capitalism can be diminished through its change into neoliberalism agenda. This is examined through reviewing Japan’s development in last couple of decade. Contents Table 1.0 introduction..............................................................................................3 2.0 Role and power resident.........................................................................3 2.1 The role and power resident of Government.....................................................3 2.2 The role and power resident of Corporations....................................................4 2.3 The role and power resident of Citizens...........................................................5 3.0 An Interaction of Government, Corporations and Citizens…………6 4.0 Character of social context (capitalism, neoliberalism)…………....7 4.1 A power interaction in Capitalism...................................................................7...
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...environment and types of businesses, it is important to understand the roles of each business organization. Two of the most common types of business organizations is the limited liability partnerships and limited liability corporations. Limited Liability Partnerships A limited liability partnership, commonly abbreviated as an LLP is a business organization made up of partners. However, a limited liability partnership has the characteristic number of partners who have limited liabilities. According to Boone and Kurtz (2011), these specific partners are not therefore liable for the financial responsibilities of the partnership. This is the feature that introduces the unique role of the limited liability partnerships as business organizations that protect the personal estates of the limited liability partners. Another role of the limited liability partnerships is to generate financial value to the partners with limited liability partners. It is the responsibility of every business to generate business value to the owners and other stakeholders. The business value involves generation of profits for the active partners and the limited liability partners (Boone & Kurtz, 2011). According to Pride et al (2011), the owners of the limited liability partnerships are not personally liable for the debts or financial obligations of the business. Therefore, the limited liability partnerships have a critical role of generating business value that can be able to pay off the business...
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...© 2009 Oracle Corporation – Proprietary and Confidential 1 Using TCA PL/SQL APIs Day,Friday, Date, 2004 time p.m. ET March 3, 2009 9:00 EST Teleconference Access: North America: xxxx Teleconference Access: International: xxxx North America: Password: Advisor +1-877-664-9143 International: +1-706-634 – 8961 Conference ID: 82200160 Upcoming Receivables Community Live Webcasts: March 6, 2009 - How to Use Receipts Application Programming Interfaces (APIs) to Create and Apply Receipts March 24, 2009 - Overview of Bills Receivable All Upcoming Advisor Webcasts are listed in Note 398884.1, Oracle Advisor Webcast Schedule. Do you have any requests for future Receivables Advisor Webcast Events? Please email your suggestions to ARNEWS_US@oracle.com, subject: Topics of Interest. © 2009 Oracle Corporation – Proprietary and Confidential 2 Agenda • Presentation and Demo – approximately 45 minutes • Q&A Session – approximately 15 minutes • • Please hold all questions to the end of the session. To ask a question, move your cursor to the top of the screen and select the ‘bubble’ icon next to the moderator’s name. A dialog box will open. Enter your question and select “Send.” • • During the Q&A session your question will be read and an answer will follow. © 2009 Oracle Corporation – Proprietary and Confidential 3 ATTENTION – AUDIO INFORMATION If you encounter any audio issues, please call InterCall (Audio Conferencing) and mute your phone. North...
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...The evolution of the culture of our corporations has evolved in many ways and for many reasons. There were many different factors that played an important role in developing the change in the evolution of corporations. Societal and cultural influences played a major role in the early development of the objectives and reason for existence of corporations. Political forces have and will continue to play an influential role in the structure of corporations and the responsibilities corporations have in the communities in which they exist. Economic forces were one of the early influences, but will also continually be a leading factor in how corporations are governed and operated. The changes to how corporations are operated in turn affect the role of corporations and how they will be operated in the future. All of these factors for different reasons play an important role in the evolution of corporations. The decision making power transitioned from the individual to the corporation. The laws that govern the corporations, the individuals that work for the corporations, the boards that guide the corporations all evolved in the amount and type of authority they hold as well as the role they play. Individual behavior was one of the early influences on business and corporations. Businesses were owned by individuals and families. As businesses grew and the need for large scale operations grew, the scope of the operations of these businesses also expanded. The change was in...
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...order to achieve a goal. (Robbins & Coulter, 2012). The role of organizations in a corporation has a different level of the importance, but all organizations must need to achieve the corporation’s goal effectively and efficiently. Most corporations must need people who manage the organization, and then managers have a different role to support a corporations’ competitiveness. According to Gilbert (1996) “Making broad strategy for a company is one of the major tasks of general managers. This involves setting long-term directions and goals, and allocating resources, so that the directions can be pursued, and the goals can be reached” (p.13) To improve corporation’s competitiveness, the manager in the functional areas takes some roles. There are two structures of the role of manager. One is the management function from Henri Fayol, and the other one is the managerial roles from Mintzberg. Henri Fayol’s the four functions of management are planning, organizing, leading and controlling and Mnitzberg’s the roles of a manager divide by interpersonal relationship, the transfer of information, and making decision. (Robbins & Coulter, 2012). All managers in the organizations like Marketing, R&D, Manufacturing, Human Resources, and Finance must have both structures. They make plans of goal and strategies to succeed, and organizing. Then they lead and control their members to accomplish goals. Furthermore, they have different roles divided their working part or level of positions. Managers...
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...26, 2012 Abstract Corporations are intricate entities and require many people to aid in its success. The main groups that actively contribute to the corporation are the directors, officers, and shareholders. Each group is vital to the success of the organization. A corporation is a company in the marketplace and is comprised of many people who have specific duties and responsibilities. All people who are part of the corporation are considered corporate people and are important to the day-to-day functioning of the corporation. Some corporate people are given duties that are necessary to achieve the mission of the organization. The key people within a corporation who are responsible for the mission of the organization are the directors, officers, and shareholders. The success of the corporation is largely due the work and success of these people. Duties of Directors of Corporations Directors of a corporation are largely responsible for the day-to-day operations and the direct success of the corporation. The main duty of the directors is to implement control and management within the corporation and to ensure that all functions are carried out in a smooth manger (McNamara, 2008). Part of ensure this is to define the policies and procedures of the organization so that company employees understand what is expected of them and how they can achieve their goals and the mission of the corporation. The directors of...
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... Abstract The argument based on the growing corporate revelation (exposure) to social, cultural and political values in societies globally and also to regulate corporate behavior. It is discussed that corporate role are shifting with this changing towards a societal governance ruled over by traditional political actors. It guides to an argument of the results of a process for a responsible corporate role in globalised world. This analyse includes four different articles. The goal of this case is to figure out the results of the social and political mandate of the corporation. This study also contains transnational companies which are getting more powerful in affecting the political, social, and economic circumstances in their host families. Introduction What is the effects of globalization on business firms’ relations and responsibilities ? The goal of this case to figure out the results of the social and political mandate of the corparation. This study also contains transnational companies which is getting more powerful to affect the political, social and economic circumstances in their host families. Some cases assumed that internalization guide to conversion of business sensation of its role in society. Globalization is a process which refers distinctly to economic globalization. It means that the integration of national economies. National borders and distances start to lose their economical and political importance with global...
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...Abstract The problem to be investigated is the role of corporation in society and its ethical influence on social responsibility. There have been arguments that capitalism and corporations are responsible for economic ills of the society. It is therefore necessary to understand the role of corporation and ethical influence if any. In other to address the problem stated above it is necessary to define what capitalism and corporation are, and give background insight through meaningful literature reviews. According to dictionary.com capitalism is an economic system in which investments, ownership and means of production, distribution, and exchange of wealth is driven and maintained mainly by private individuals or corporations, in contrast to cooperatively or state-owned means of wealth. A corporation on the other hand is a business organization created by its owners known as stockholders under authority of the law to exist continuously independent of its members; powers and liabilities (limited liability) separated from those of its members.(American Heritage Dictionary). The answer to the problem stated above may be embedded in the "not a cold mete or fallen from the sky" statement of Dr. Novak (Jennings, 2012, p.108). Role of Corporation In Society The problem to be investigated is the role of corporation in society and its ethical influence on social responsibility. There have been arguments that capitalism and corporations are responsible for economic ills of the society...
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...Performance i. How did the corporation perform the past year overall in terms of ROI, market share, and profitability? b. Strategic Posture What are the corporation’s current mission, objectives, strategies and policies? i. Are they clearly stated, or are they merely implied from performance? ii. Mission: What business is the corporation in? Why? iii. Objectives: What are the corporate, business, and functional objectives? Are they consistent with each other, with the mission, and with the internal and external environment? iv. Strategies: What strategy or mix of strategies is the corporation following? Are they consistent with each other, with the mission and objectives, and with the internal and external environments? v. Policies: What are the corporation’s policies? Are they consistent with each other, with the mission, objectives, and strategies, and with the internal and external environment? vi. Do the current mission, objectives, strategies, and policies reflect the corporation’s international operations, whether global or multi-domestic? II. Corporate Governance a. Board of Directors i. Who is on the board? Are they internal or external members? ii. Do they own significant of stock? iii. Is the stock privately held or publicly traded? Are there different classes of stock with different voting rights? iv. What do the board members contribute to the corporation in terms of knowledge, skills background, and connections? If the corporation has international operations...
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...paper in which I explain the roles of limited liability corporations and limited liability partnerships. In addition to explaining the roles of limited liability corporations and limited liability partnerships I will describe establishing my own company. Roles of Limited Liability Corporations The “Internal Revenue Service" (2012) website states that a Limited Liability Company (LLC) is a business structure allowed by state statute. LLCs are popular because, similar to a corporation, owners have limited personal liability for the debts and actions of the LLC. Other features of LLCs are more like a partnership, providing management flexibility and the benefit of pass-through taxation. There are advantages and disadvantages to being in an LLC, let’s start with providing the advantages, advantage one is taxes, when you are in an LLC there is no double taxation, advantage number two is liability, an LLC offers the same protection against liability that a corporation holds. The disadvantages, disadvantage number one is number of owners, an LLC must have at least two owners or members, disadvantage number two is taxes, an LLC must pay self-employment taxes. Roles of Limited Liability Partnerships According to "Nolo" (2012), a limited liability partnership (LLP) is a partnership in which some or all partners (depending on the jurisdiction) have limited liability. It therefore exhibits elements of partnerships and corporations. In an LLP, one partner is...
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...Corporate Citizenship: Towards an extended theoretical conceptualization Dirk Matten & Andrew Crane Research Paper Series International Centre for Corporate Social Responsibility ISSN 1479-5124 Editor: Dirk Matten International Centre for Corporate Social Responsibility Nottingham University Business School Nottingham University Jubilee Campus Wollaton Road Nottingham NG8 1BB United Kingdom Phone +44 (0)115 95 15261 Fax +44 (0)115 84 66667 Email dirk.matten@nottingham.ac.uk www.nottingham.ac.uk/business/ICCSR Corporate Citizenship: Towards an extended theoretical conceptualization Dirk Matten & Andrew Crane Abstract Corporate citizenship (CC) has emerged as a prominent term in the management literature dealing with the social role of business. This paper critically examines the content of contemporary understandings of CC and locates them within the extant body of research dealing with business-society relations. Two conventional views of CC are catalogued – a limited view which largely equates CC with strategic philanthropy and an equivalent view which primarily conflates CC with CSR. Significant limits and redundancies are subsequently identified in these views, and the need for an extended theoretical conceptualization is highlighted. The main purpose of the paper is thus to realize a theoretically informed definition of CC that is descriptively robust and conceptually distinct from existing concepts in the literature. Specifically, the extended perspective on CC...
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