Communication Information Business

An Examination of Performance of Caterpillar Inc.

Introduction

In history time during the 19th century, business and society play a different role and did not interrelate (Arthur Sharp 20008). Business or stakeholder interest to make as much profit as possible for their own advantages whereas societies just find out their role as workers and customer which business has provided without any interest to what action company has taken (Arthur Sharp 20008). However, recent studies have found that business has a strong relation with society (Lectue Notes7). Current business is expected and demanded more to have a high standard of ethic in conducting business activities and invest or share some of their profit to address social and environment issues (Arthur Sharp 20008).

CSR Concept

Environment and social issues have strongly related to business activity, therefore, understanding CSR concept is a basic needs to improve business performance. Corporate Social Responsibility (CSR) is related to the consideration on how company responsible to their employee and how business affects society and environment (Business Link 20101). CSR is playing an essential role to apprehend how to affect the society and environment in a positive way through their business (Business Link 20101). 

However, CSR concept has become debatable topic among society, especially among economic expert. Proponents strongly agree to impose CSR in all business or company while opponents argue that the aim of business is to obtain profit as much as possible (Thomas 2006, 910). CSR policy such as allocate some of their profit to the environment extremely opposed by the business which purpose to find profit as much as possible without consider the society and environment (Thomas 2006, 910).

Explanation of Caterpillar

Caterpillar Inc. established to fulfill needs of the natural gas and diesel engines, mining and construction equipment and also industrial gas turbines (Caterpillar Inc....