Social Responsibility of

Business Concept
Guided by Presented by
Dr. Ruchita Shandilya Anuj Jain
Prina Singhal
Priyanka Jain
Sandly Jain
Aman Gangrade

Business Ethics and Corporate Governance

 DEFINITION

Social responsibility contends that

management is responsible to the
organization itself and to all the interest
groups with which it interacts. Other interest
groups such as workers, customers, creditors,
suppliers, government and society in general
placed essentially equal with shareholders.
Responsibility towards different
Group
 Responsibilty towards Customers

1.True and fair information through advertisement.

2. Regular supply of good.
3. Charge reasonable price.
4. Avoid black marketing
5. To understand needs and wants of the customers.
6. To provide required after sale services.
7. To ensure product has no adverse effects on consumers.
 Responsibilty towards Creditors/
Suppliers

1.Maintaining a healthy and cooperative in-ter business

relationship between different business.
2. Management Should provide accurate and relevant
information to. creditors and suppliers.
3. Payment of price of materials, interest on borrowings, other
charges should be prompt.
 Responsibilty towards Employees

1.Fair wages and salaries.

2. Good & safe working condition.
3. Opportunities for education training & promotion.
4. Workers participation in decision making
5. Reasonable and proper chance for promotion
6. Proper recognition, appreciation and encouragement of
skills.
7. The installation of efficient grievance handling system.
 Responsibilty towards shareholder

1. Return on their investment.

2. Providing relevant information.
3. Increasing their assets.
4. Request suggestions.
5. Improving public image of company.
 Responsibilty towards Society/
Environment

1.To help the weaker and backward sections of the society

2. To preserve and promote social and cultural values
3. To generate employment
4. To protect the environment to conserve natural resources
and wildlife
5. To promote sports and culture
6. To provide assistance in the field of developmental
research on education, medical science, technology .
 Responsibilty towards Government

1.To abide the laws of the land.

2. To pay taxes honestly.
3. To avoid corrupting.
4. To encourage fair trade.
5. To avoid monopoly.
 Concept of Social Responsibility

 Profit Responsibility-
 Company’s duty is to maximize profits .
 Profiteering- shrink supply to raise price & profit
Stakeholder Responsibility-
 Company’s duty is to protect the interests of owners
 People who gain from it
Societal Responsibility –
 Company’s duty is to preserve Environment
 Protect users of their products