1. Business & Society Mr. Johnson

2. Objectives Define Social Responsibility Define Social Responsibility Evaluate the types of Social Responsibility Evaluate the types of Social Responsibility Identify the Receivers of Social Responsibility Identify the Receivers of Social Responsibility Identify the categories of business serving society today Identify the categories of business serving society today

3. Objective A Define Social Responsibility Define Social Responsibility

4. BUSINESS & SOCIETY In order to SUCCEED Maximizing Profits & Contributing to Public Interests MUST

5. SOCIAL RESPONSIBILITY The DUTY of business to CONTRIBUTE to the WELL- BEING of SOCIETY The DUTY of business to CONTRIBUTE to the WELL- BEING of SOCIETY DUTY – moral obligation – a service designed or demanded of someone – an act or course of action that is required of someone/thing in that position Contribute – share responsibility – to give or supply in common with others Well-Being – state of being healthy, happy or prosperous Society – our town/city/county/state/region/country

6. Objective B Evaluate the types of Social Responsibility Evaluate the types of Social Responsibility

7. Minding the Store Quality products Quality products Competitive prices Competitive prices Customer needs Customer needs Minimum costs Minimum costs Minimum expenses Minimum expenses MAXIMIZE THEIR PROFITS MAXIMIZE THEIR PROFITS

8. Contributing to Public Interests Why Why –Creates Goodwill –Foster’s positive image for company Examples Examples –Scholarships –PGA Tour Drive to $ 1 Billion –Corporate Sponsorship of Art, Education, Research

9. Why Be Socially Responsible All businesses have an impact on society All businesses have an impact on society All businesses should try to maximize their profits All businesses should try to maximize their profits Some businesses have added responsibility due to the type of business they are Some businesses have added responsibility due to the type of business they are –Automobile Companies »Emission Controls »Gas Mileage

10. Objective C Identify the Receivers of Social Responsibility

11. To Whom are Businesses Socially Responsible to? Product Purchasers Product Purchasers –Must offer safe quality products –Must conduct research, in order to develop quality, safe, desired products Stakeholders in Business Stakeholders in Business –Stock Holders »Maximize Profits & Return on Investment

12. To Whom are Businesses Socially Responsible to? Stakeholders in Business Stakeholders in Business –Employee’s »Safety Concerns »Is work challenging »Is work satisfying »Does employer contribute to the well being of employees

13. To Whom are Businesses Socially Responsible to? How Businesses Provide for Overall Well – Being of Employees How Businesses Provide for Overall Well – Being of Employees –Counseling –Day – Care centers for workers –Career Planning –Retirement Planning –Flex Scheduling –Training

14. To Whom are Businesses Socially Responsible to? The Company itself The Company itself –Maximize profits so company can grow & prosper –Assist Company owners make as much as possible on their investment

15. Objective D Identify the categories of business serving society today Identify the categories of business serving society today

16. Types of Businesses Operating in society today Producers Producers Trade Industries Trade Industries Service Businesses Service Businesses

17. Producers Def: Someone that makes or produces things Def: Someone that makes or produces things Types Types –Raw Goods »Farmers »Miners »Lumber Jacks

18. Producers, Con’t Manufacturers –Def: Producers who change the shapes or forms of materials so that they be useful to consumers –Exp: »Cars »Glass Blower »Paper Industry

19. Producer’s, con’t Builders Builders –Producers who construct roads, bridges, buildings, or houses

20. Trade Industry’s Def: Businesses that buy & sell goods to Def: Businesses that buy & sell goods to each other each other Firms do not change / alter form of good in the process Firms do not change / alter form of good in the process Two types Two types –Wholesaler –Retailer

21. Trade Industry’s, con’t Wholesalers Wholesalers –Middle man between producing company & retailer –Examples: »Queen City Wholesale »Pepsi »Coca - Cola

22. Trade Industry’s, con’t Retailer’s Retailer’s Def: Sell to end Users of product Def: Sell to end Users of product Examples: Examples: –JC Penney’s –Target –Wal Mart –Starbucks

23. Evolution of Retail Business Size Size –80 % operate with less than 20 employees Variety of Products Variety of Products –Super Wal – Marts –Super Target’s Prices Prices –Lowest Price (reflected in image of store) –High – End Price (reflected in image of store)

24. Evolution of Retail Business, (con’t) Ownership Ownership –Sole Proprietor –Partnership »Owned by two or more people –Franchises –Corporations »Have stock holders

25. Evolution of Retail Business, (con’t) Delivery of Product Delivery of Product –Brick & Mortor Store –Over Phone –In customer’s home –By mail –Vending Machine –On street corners –By computer

26. Trade Industry’s Service Business Service Business –Sell intangible activities –Customers buy service not goods –No title / ownership / good passes to customer –Classifications »Housing »Household Operations »Recreation »Personal Care

27. Trade Industry’s Classification’s (con’t) Classification’s (con’t) –Medical & Health Care –Private Education –Business Services –Insurance & Financial –Transportation –Communications 75 % of non – farm labor employed in service industry 75 % of non – farm labor employed in service industry