BU111 Lecture Notes - Lecture 8: Corporate Social Responsibility, Paradigm Shift, Insider Trading

• School: WLU
• Department: Business
• Course: BU111
• Professor: Sofy Carayannopoulos

Document Summary

I(cid:374)di(cid:448)idual sta(cid:374)dards/(cid:271)eliefs regardi(cid:374)g (cid:449)hat"s rights a(cid:374)d (cid:449)ro(cid:374)g, good a(cid:374)d (cid:271)ad. Business or managerial ethics: standards of behavior that guide individual managers in their work. What the organizations does to/for its stakeholders. How a business defines ethi(cid:272)al (cid:272)o(cid:374)du(cid:272)t at the orga(cid:374)izatio(cid:374) le(cid:448)el, (cid:862)(cid:272)olle(cid:272)ti(cid:448)e (cid:272)ode(cid:863) How business balances conflicting commitments to stakeholders. Two opposing views, focus only on profits (investors) vs. Groups, i(cid:374)di(cid:448)iduals, a(cid:374)d other orga(cid:374)izatio(cid:374)s (cid:449)ho are sig(cid:374)ifi(cid:272)a(cid:374)tly affe(cid:272)ted (cid:271)y the orga(cid:374)izatio(cid:374)"s activities. They provide business with the capacity to operate and rightfully expect something in return. Takeholders" i(cid:373)porta(cid:374)(cid:272)e depe(cid:374)de(cid:374)(cid:272)e o(cid:374) situatio(cid:374) a(cid:374)d the issue, affe(cid:272)t (cid:449)illi(cid:374)g(cid:374)ess a(cid:374)d opportunity to act. Challenge: stakeholders may have varying and conflicting expectations of the organization: how you balance them depends on managerial ethics and approach to csr. Four level of csr: obstructionist stance-do as little as possible, defensive stance- legally required only, accommodative stance- goes further in some areas, proactive stance- looks for opportunities.