1. Social Responsibility
Chapter 4 Lesson 2
Social Responsibility

2. What You’ll Learn
How corporate responsibility has changes over the years
How corporations demonstrate social responsibility

3. Initiation
Survey:
Should businesses have a social responsibility?

4. Changing Views of Social Responsibility
What is social responsibility?
Obligation that individuals or businesses have to help social problems
Views have evolved through 3 schools of thought
Complete the chart below using pg 97
School of Thought
Time Period
Beliefs
Profit maximization
Trustee Management
Social Involvement

5. Changing Views of Social Responsibility
School of Thought
Time Period
Beliefs
Profit maximization
Nineteenth & Early Twentieth Centuries
Maximize the profits the company earns
Trustee Management
1920s-1960s
- Owners of businesses had obligations to do more than just earn profits
- Obligations to employees, customers, and creditors
Social Involvement
1960s
Corporations should use their influence and financial resources to address social problems

6. Examples of Social Involvement
What are some social problems that businesses can help address?

7. Measuring Social Responsibility
Managers perform social audits to measure how socially responsible a company is.
Corporate philanthropy: efforts to improve human welfare
Contributing time and money to local organizations
Volunteerism: some companies get paid time off to participate in charitable activities.
Environmental Awareness: Limit damage to the environment
Sensitivity to Diversity: maintain a diverse workforce
Quality of Work Life: increase the quality of life for workers

8. Activity Study Guide for Chapter 4 Page 101 Fact and Idea Review #1-2
Critical Thinking #1-2
Case Analysis