Submitted by: Submitted by gordon84106
Views: 10
Words: 1462
Pages: 6
Category: Business and Industry
Date Submitted: 04/27/2016 09:51 PM
EST1, TASK 1
The concept of businesses having a responsibility towards society is nothing new. The concept is simple enough, the idea is that a company should look beyond its profit margins and stock prices, and should also see in what ways it can benefit the community around it. The idea of social responsibility is becoming a much bigger topic these days. With almost everyone carrying a smart device, they can upload footage, or documentation that can be trending to hundreds, thousands, and even millions of people worldwide almost instantly. With the idea that we are damaging our environment, the economy being more and more divided into the “haves” or “one percenters” and “have nots” or “the ninety-nine percent,” it is becoming clear that, while a company may not have a legal obligation, it most certainly is expected and demanded by society for businesses to maintain a level of social responsibility.
In the given situation, Company Q has taken three distinct actions, and while these decisions might have been made with no ill will towards anyone in mind, there can be an adverse effect on the community. The three actions that Company Q has taken are; 1: They have closed a couple of stores in a higher crime area of the city, because allegedly they were constantly losing money. 2: the company finally took the requests from their customers and decided to stock a very limited selection of healthy and organic products, but the company has increased the price on the items. 3: they declined the request of the local food bank because they are worried that it will encourage employee theft.
In the first situation, Company Q closed two stores in a high crime area of the city. The reasoning for the closure of the stores was that the stores are constantly losing money. From a business standpoint, this decision makes sense. Statistically, it is tougher to successfully run a profitable business in areas with a higher crime rate. Most likely, the profit loses are due...