Sotero, Maria Bernaditte L.

BSBA

Friedman’s Traditional View

PLUS MINUS
 Many organizations will be able to  The outcome maybe negative in the
assist in supporting the needs of the long-term efficiency of a business.
vulnerable and poor  May actually harm the very society
 Recruit disabled workers, thereby that the firm is trying to help
fulfilling the corporate duty.  No profit can reach the company
 More Affordable goods and services in because their initiative is to slash
the market prices and support the needy.
 When they invest to minimize  By shouldering the weight of the
pollution, it contributes to the societal cost, the firm becomes less
improvement of the environment. efficient resulting in prices hikes or
 Rather then working on the market postponing of investments in new
with a reason, they are looking forward activities and research.
to assisting society
Interesting
Friedman’s traditional view of business responsibility achieves organizational success by
decreasing their organizational success by decreasing their original product price, resulting in
increased customer demand and profit. According to Friedman they are accountable not just for
humanity but also for their environment. The company’s benefit will increase as a consequence
of the utilization of capital. It’s an intriguing point of view since businesses are looking for
methods to be responsible members of the society. It is beneficial to have opportunities in order
for the firm to serve the community by recruiting hard core unemployed people by creating and
using resources, the business is also helping to minimize pollution in the neighborhood. This
viewpoint is truly considerate to those who cannot afford costly necessities; therefore, many
needy people will be able to satisfy their wants at a reduced cost as a result of this social
responsibility. If all earnings are added together, regardless of the bad aspects, it is complete
success.
Carroll’s Four Responsibilities of Business
PLUS MINUS
 Carroll’s four responsibilities of  According to Caroll failing to comply
business discussed many fields in with the legislation and these four
society that needs help and corporate obligations would result in a
improvement loss of benefit and life
 Caroll designates a specific kind of  In order for the business to continue
responsibility a business would like to its existence, the firm must follow the
attend to. law and fulfill their legal
 It has a wider scope in terms of responsibilities
responsibilities so more opportunities  Companies are compelled to express
 It just not focusses on maximization of and share a number of flaws in their
profit. products with customers in the market;
 There will be improvement in the field as a result, they become vulnerable to
of economy, legal aspect, ethical and a number of negative impacts on their
even in discretionary part. own reputation in the market, which
can lead to a drop in a corporation’s
established reputation in the market.
Interesting
Carroll’s four responsibilities established a foundation on which to delineate in some detail and
frame or characterize the nature of a business’s responsibilities to the most dramatically impact
shareholders and employees, because if the business is not financially viable, both of these
groups will suffer significantly. Owner’s legal responsibilities are unquestionably significant.
All stakeholder groups are affected by ethical duties. Shareholder lawsuits are becoming more
common. Finally discretionary obligations have the greatest impact on the community and
charitable organizations, but they also have an impact on workers, since some study has shown
that a company’s employees ‘morale and engagement are highly tied to its philanthropic
activities.

MY DECISION
In my view, I will choose to implement Archie Carroll's idea, which must be followed by both
global and local businesses in order to attain organizational success. This is because I believe
that a business organization must be concerned with more than just profit maximization; it
must also be concerned with corporate social responsibility, corporate citizenship, and
sustainability. Companies should be responsible enough to be concerned with the notion of
environmental sustainability, as well as touching human lives and making beneficial
contributions to the community. Carroll's four business obligations enable the company to
comply with both the capital accumulation of benefit and the company's social commitment.