CHRISTINE PAK, KELLE PATTERSON, ERIN DONNELLY, YI SHI, HANRUI ZHANG U1 Corporate Responsibility and Green Practices

What is it?  Corporate Responsibility is a type of corporate self regulation where the business promises to follow the law, ethical standards, and the international norm  Corporations responsible for impact on public sphere - environment, communities, consumers, employees, etc.  Promote public interest - community growth, eliminate harmful practices  People, Planet, Profit

Also Known As…  Corporate Responsibility  Corporate Citizenship  Responsible Business  Sustainable Responsible Business (SRB)  Corporate Social Performance

Evolution In the 20 th century market places demanded ethical business Public initiatives are put into place 1970s and 1980s interest in business ethics accelerates  Corporations  Academia More recently corporations have ‘rebranded their core values  BP

Potential Benefits for Businesses Human resource: Companies with CR are more likely to attract talented employees who may have increasing concerns in this field. Risk management: Companies with CR place priorities on safety and health, employment / consumer rights and environmental protection. This can reduce destructive accidents which may incur government actions and public resistance. Brand image: CR enables companies to achieve positive reputation as it focuses on social benefits rather than only earning profits.

Criticism and Concerns Companies with CR will encounter increased costs (purchase of pollution-process equipment etc) which will reduce profitability. In countries where public attention is drawn primarily upon pure economics and laws are lax, CR may be less helpful to achieve brand image. Success of companies cannot be guaranteed by CR as there are so many constraints such as macro economy, competition and skills of managers.

Opinion and Closing Statements Involves how they handle environment, human rights, community development and the welfare of their employees Gives companies a competitive advantage Can impacts sales as well as investors and employees who will work for them Reduces risk of problems arising

Opinion and Closing Statements Becoming increasingly more important for businesses to succeed More consumers are choosing companies who demonstrate good social responsibility and green practices Companies should implement these into their business models A companies actions does influence which product we choose to purchase should be considered when purchasing products