1. BUSINESS & SOCIETY Ethics and Stakeholder Management
Chapter 2
BUSINESS & SOCIETY Ethics and Stakeholder Management
Carroll & Buchholtz 6e
CORPORATE CITIZENSHIP: SOCIAL RESPONSIBILITY, RESPONSIVENESS, and PERFORMANCE
Prepared by Deborah Baker Texas Christian University
Chapter 2-
Business and Society: Ethics and Stakeholder Management, 6e • Carroll & Buchholtz Copyright ©2006 by South-Western, a division of Thomson Learning.  All rights reserved

2. Chapter 2 Learning Outcomes
Explain how corporate social responsibility (CSR) evolved and encompasses economic, legal, ethical, and philanthropic components.
Provide business examples of CSR and corporate citizenship.
Differentiate between corporate citizenship, social responsibility, responsiveness, and performance.
Elaborate on the concept of corporate social performance (CSP).
Chapter 2- 2

3. Chapter 2 Learning Outcomes (continued)
Provide an overview of studies relating social performance to financial performance.
Describe the socially responsible investing movement.
Chapter 2- 2

4. Chapter 2 Outline The CSR Concept
Arguments Against and For Corporate Social Responsibility
Corporate Social Responsiveness
Corporate Social Performance
Business’s Interest in Corporate Social Performance
Corporate Citizenship
Social Performance and Financial Performance
Socially Responsible or Ethical Investing
Summary
The Corporate Social Responsibility Concept
Historical Perspective on CSR
Corporate Social Responsibility
The Four-Part Definition of CSR
Arguments Against and For Corporate Social Responsibility
Arguments Against CSR
Arguments for CSR
Corporate Social Responsiveness
Ackerman and Bauer’s Action-Orients View
Sethi’s Three-Stage Schema
Frederick’s CSR1 and CSR2
Epstein’s Process View
Other Views
Measurable Dimensions of Responsiveness
Corporate Social Performance
Carroll’s Corporate Social Performance Model
Usefulness of the Model to Academics and Managers
Wartick and Cochran’s Extensions
Wood’s Reformulated Model
Nonacademic Research on Corporate Social Performance
Social Performance and Financial Performance
Socially Conscious or Ethical Investing
Summary
Chapter 2-

5. Carroll’s Four-Part Definition of CSR
Understanding the Four Components
Responsibility
Societal
Expectation
Examples
Economic
Required
Be profitable. Maximize sales, minimize costs
Legal
Obey laws and regulations
Ethical
Expected
Do what is right, fair, and just
Philanthropic
Desired/ Expected
Be a good corporate citizen
Chapter 2-

6. A Multiple Bottom-Line Perspective
Consumer Stakeholders’ “Bottom Line”
Employee Stakeholders’ “Bottom Line”
Community Stakeholders’ “Bottom Line”
Owner Stakeholders’ “Bottom Line”
Other Stakeholders’ “Bottom Line”
Corporate Social Performance
Chapter 2-

7. Selected Key Terms Business for Social Responsibility
community obligations
corporate citizenship
corporate social performance (CSP)
corporate social performance model
corporate social responsiveness
corporate social responsibility
corporate sustainability
economic responsibilities
ethical responsibilities
legal responsibilities
paternalism
philanthropic responsibilities
philanthropy
Pyramid of CSR
socially responsible or ethical investing
sustainability
Triple Bottom Line
Chapter 2-