ADMS 1000 Lecture Notes - Corporate Social Responsibility, Profit Maximization

• School: York University
• Department: Administrative Studies
• Course: ADMS 1000
• Professor: Len Karakowsky

Document Summary

Chapter 8: the societal context (pages 174 187) Internal stakeholders can include business owners and employees among the principal groups. Generate rational business strategy, make profits, minimize costs Honour all relevant laws and regulations governing business activities Engage in business practices that are in line with what society considers acceptable, fair, just Engage in activities that help the betterment of society e. g. volunteerism, charity Organizations can"t be held accountable for their actions. The case against csr: business is business. Profit maximization is the primary purpose of business, and to have any other purpose is not socially responsible: a business"s primary responsibility is to the owners or shareholders. Clearly, owners and shareholders want to maximize profit, and so this should be the business"s highest priority. Suggests that businesses can"t be judged by the same set of rules or standards of moral conduct that we apply outside of business.