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UNIVERSITY OF THE PEOPLE

BUSINESS LAW, ETHICS AND SOCIAL RESPONSIBLITY

Written Assignment Unit-III

(ETHICS AND ENVIRONMENTAL CONCERNS)

Instructor: Dr. Neverson Heatley, III


Case Analysis: Corporate Social Responsibility

Introduction

Corporate social responsibility (CSR) is an important aspect of modern business practices

that incorporates social, ethical, and environmental responsibilities in a firm's operations

(Business Ethics, 2012). In this case, Kirk, an assistant controller, is concerned about the

company's casual attitude towards the environment, which contradicts his understanding of

corporate responsibility. This analysis evaluates Kirk's dilemma and recommends practical

and ethical strategies for him to consider.

Ethical Dilemma

Kirk's dilemma is whether to prioritize corporate responsibility over the company's politics or

his career advancement (Business Ethics, 2012). The company's current waste treatment

facilities cannot handle the waste products that the new plant will produce, and upgrading the

facilities would increase the cost per unit. The environmentalists are pressuring for more

stringent regulations at the federal level, and the company's competitors do not have waste

treatment facilities. Therefore, the company's management is hesitant to invest further in

waste treatment facilities. Kirk's ethical dilemma is whether to remain silent and continue

with his career advancement or speak out about the company's casual attitude towards the

environment and risk his career.

Ethical Analysis
Kirk's ethical dilemma requires him to balance his personal values and the company's values.

On one hand, Kirk understands the importance of environmental responsibility and believes

that the company should invest in waste treatment facilities to meet the industry's standards

(Business Ethics, 2012). On the other hand, the company's management believes that

upgrading the facilities would increase the cost per unit and is not necessary, given their

competitors' practices. In this case, the company's management has an obligation to maximize

profits and minimize costs while complying with the federal regulations. However, the

company's practices contradict the environmentalists' demands for more stringent regulations

and the industry's standards. Therefore, Kirk's ethical dilemma is to balance the company's

economic interests and the environmentalists' demands for more stringent regulations.

Practical Analysis

Kirk's practical dilemma requires him to consider the consequences of his actions on his

career advancement and the company's reputation. Speaking out about the company's casual

attitude towards the environment may jeopardize his career advancement and make him lose

credibility among the management (Velentzas, Broni, & Tzavlopoulos, 2021). However,

remaining silent may violate his personal values and may have adverse effects on the

environment and the company's reputation in the long run. Therefore, Kirk's practical

dilemma is to balance his personal values and the consequences of his actions on his career

and the company's reputation.

Recommended Strategy

Kirk's dilemma requires him to consider both practical and ethical considerations to make an

informed decision. Therefore, the recommended strategy for Kirk is to seek an audience with

the company's management and propose a cost-benefit analysis of investing in waste


treatment facilities (Business Ethics, 2012). Kirk can present the potential benefits of

investing in waste treatment facilities, such as meeting the industry's standards, complying

with the environmentalists' demands, and enhancing the company's reputation. Additionally,

Kirk can present the potential costs of not investing in waste treatment facilities, such as

violating the industry's standards, facing penalties for violating the environmental

regulations, and losing the company's reputation in the long run.

Conclusion

In conclusion, Kirk's dilemma requires him to balance his personal values and the company's

values to make an informed decision. The recommended strategy for Kirk is to present a cost-

benefit analysis to the company's management and propose investing in waste treatment

facilities to meet the industry's standards, comply with the environmental regulations, and

enhance the company's reputation. Kirk should prioritize corporate social responsibility while

recognizing the politics at play and the consequences of his actions on his career and the

company's reputation.

References:

Business Ethics. (2012). Corporate social responsibility.


http://2012books.lardbucket.org/books/business-ethics/s11-corporate-social-
responsibility.html

Velentzas, J., Broni, G., & Tzavlopoulos, Y. (2021). The impact of corporate social
responsibility on financial performance: A meta-analysis. Sustainability, 13(9), 4861.
https://doi.org/10.3390/su13094861

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