Est1 Task 1

EST1-Task1

Given that Company Q being a small local grocery chain in a major metropolitan area is having problems with internal structure and ethical business, a few recommendations would be crucial to the success of its future business. To begin, they have recently closed two stores in higher-than-normal areas of the city. They have also just begun to carry a “very limited amount” of health-conscious and organic products, which are all high margin items (meaning that they make more per item). Also, it is stated that they have refused to donate any day old products to local food banks and have instead decided to throw it all away citing fears of fraud and lost revenues. While these decisions may seem business savvy (or may not), the ethical decisions that they are making in the eyes of the community in which they exist have had profound effects on the business itself. By making a more ethical business plan, they can turn more of a profit in the future and also look better in the eyes of the community. The actions represented here in my opinion are not very socially responsible.

Social responsibility is key when operating a business. It is the way that a community sees the business as doing good or bad for them and plays a larger role than most think. Given that they have closed stores in high crime rate areas is not surprising. From a business perspective, it does make sense that they may close stores as compared to losing a lot of money. It is shown that in a lower demographic area, crime goes up. (McLaughlin, L. The poverty-crime connection. Retrieved June 20, 2016, from http://www.jacksonfreepress.com/news/2011/oct/19/the-poverty-crime-connection/) So from that perspective I do not think that they were being socially irresponsible, although they could definitely implement a few changes and stay open and be more socially responsible. It is a grocery business after all and they are not necessarily in the business of stopping crime; especially given the...