Assessing Corporate Social Responsibility PART THREE

                                                                 

Because of its relative novelty, some firms would claim to be “green” or socially conscious while their claims are not substantiated by real facts. Corporate social responsibility is a commonly viewed tool to enhance company reputation so companies will engage in CSR publicity campaigns when faced with scandals, for example BP oil engage in a vast CSR marketing campaign immediately after a major oil spill in 2012 to repair its damaged public image. In this context, corporations will engage in CSR for the sole purpose of influencing public opinion and building a positive public relations campaign. Faking to be socially good goes against the real spirit of CSR because CSR is doing “good” in the real sense of the term through real prosocial actions: actually solving urgent needs i.e. feeding the hungry, providing drugs to the ill, recycling dangerous chemicals or plastics, building homes for the homeless (Chernev & Blair, 2015).

                                             

            As a mean of authenticating the CSR print of a firm, Entine and Jennings eight questions has parallels with traditional measures of social responsibility especially with questions about transparency, fair treatment of employees and charitable actions. Entine and Jennings rather address ethical concerns than social responsibility concerns, this is a noticeable difference. Compliance with laws, propriety, truthfulness and transparency are core values of business ethics and these ethical values should exist in a corporation before the latter engages in socially responsible acts. A firm involved in illegal activity would not have the moral compass to engage in CSR activities, the two are just not compatible. In the example of Fannie Mae which engaged in improprieties of accounting, reporting and other questionable practices, such a firm cannot perform CSR actions that would be acknowledged since they are not even compliant in their most basic functions. As Adam Smith points it out in his theory of the business enterprise, the firm is an integral part of society and vice-versa as an eco-system of business/society (Gonin, 2015).    

                                                  

References

Jennings, M. (2012). Business ethics case studies and selected readings (7th ed.). Mason, OH: South-

            Western, Cengage Learning.

Gonin, M. (2015). Adam Smith's Contribution to Business Ethics, Then and Now. Journal Of

            Business Ethics, 129(1), 221-236. doi:10.1007/s10551-014-2153-4

Friedman, M. (1970). The Social Responsibility of Business is to Increase Profits. The New York

            Times Magazine. September 13,1970.

CHERNEV, A., & BLAIR, S. (2015). Doing Well by Doing Good: The Benevolent Halo of

Corporate Social Responsibility. Journal Of Consumer Research, 41(6), 1412-1425. doi:10.1086/680089