Lecture

Dr. Truong Thi Nam Thang CFVG/NEU

Corporate Social Responsibilities

Responsibilities of firm to balance 3P Minizing negative and maximizing positive impacts on society

Business Ethics

Norms guiding and regulating behaviors right-wrong, acceptableunacceptable

Corporate Governance

Procedures, mechanisms to make sure suppliers of finance get return on investment

Govern ment The Media

Owners

Director s Employe es

Primary Secondary

Internal

Custome rs/Cons umers

Educatio nal institutio ns

External

Society

Stakeholder model

Lenders /credito rs

NGOs

Supplier s Service professi onals

Competi tors Business organis ation Dealers /distribu tors

OWNERS Reporting Minority shareholders Fair dividends

EMPLOYEES Hiring practices Firing practices Wages & working conditions Private lives vs company lives Discrimination Honesty Unions Conflicts of interests Secrecy & espionage

CONSUMERS & CUSTOMERS Advertising Packaging Product safety Deception, overselling Price fixing discriminatory pricing Collusion with competitors

COMPETITORS Price fixing Unfair competition Pricing below cost Stealing personnel Industrial espionage GOVERNMENT Laws compliance Political contributions for favors Lobbying Honesty in tax return Accurate reporting

CREDITORS/LENDERS Info Disclosure Valuation of inventory

SUPPLIERS Payment Unfair pressure tactics Kickbacks, bribes

SOCIETY AT LARGE Corporate citizenship Respect for the environment Discrimination in employment practices Conditions to corporate giving

4

INVIDUAL CHARACTERISTICS Ethical cognitive development Moral philosophies Locus of control

Ethic related decision making process

Moral awareness

Moral evaluation

Moral behavior

Consequences

ORGANISATION Teams/Important others Leadership/Org. climate

Moral Philosophies

Egoism Utilitarianism

Moral Cognitive Development Stage

Pre-conventional: self interest Conventional: social contracts

Locus of...