Blog 4

Who Motivates Corporate Social Responsibility?

In this course thus far the class has grappled with corporate ideologies, practices, and goals. Stakeholder and shareholder ideologies debate over what the goals of the organization should be, and who should have the power to reinvest in society: upper management or the stockholders? Jensen proposes that focusing on long-range goals like sustainability will keep a company profitable and eliminate the apparent conflict between maximizing profit and working to balance stakeholder interests.

The blog post I responded too focused on how several Swedish and international companies are working to uphold social responsibility through grassroots efforts.  The blog post states that while there has been some governmental mandates on corporate social responsibility companies incentivized by other factors have made the most impact in advancing sustainability and profitability.

The author gives examples of companies in the fashion and home goods sector, clothing, and supermarket chain to show the wide array of companies who have prioritized working with local vendors, and making strides to advance labor rights and reduce environmental pollution.

Corporations, as their own entities, want the power and freedom to make choices regarding management styles.  I think that while the government can impose certain restrictions and policies a movement towards social responsibility must be internal and only then can a corporation’s efforts be lasting and genuine.
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5 thoughts on “Who Motivates Corporate Social Responsibility?

  1. I agree with your post especially the last paragraph. The corporations must want to be socially responsibility in order for them to actually achieve it. It is one thing to be forced to reduce environmental pollution, but it is another to reduce it all on your own. It makes a stronger impression on other corporations and stakeholders, if the corporation decides to be socially responsibility. It is exciting to see that more companies are striving for this social responsibility.

  2. I agree with your point that motivation for social responsibility should come from inside the organization. I’m currently taking a Management for Sustainability course and in class today we discussed how certain companies provide compensation to their employees based on performance metrics related to sustainable development. Do you think that employee compensation is an effective way to motivate social responsibility and sustainability within an organization?

  3. I agree with you sentence: Corporations, as their own entities, want the power and freedom to make choices regarding management styles. As I read the Shareholder Value Myth this week, Stout also wrote that: from a legal perspective, shareholder do not, and cannot, own corporations. Corporations are independent legal entities that own themselves, just as human beings own themselves. I like this kind of describing that make corporations alive. And corporations themselves can take the responsibility to develop and improve.

  4. It seems that the point of the document at the end of the post is that it is a set of guidelines from the Swedish government. I don’t get the impression they are regulations. It is more like government as a broker of good practices.

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