Social Responsibility and Business Ethics

Flashcards focused on key vocabulary related to social responsibility and business ethics, including definitions and distinctions of related concepts.

Social Responsibility

The duty of organizations to balance between societal, economic, and environmental interests.

Business Ethics

Moral guidelines that govern a company's actions and decisions.

Triple Bottom Line (TBL)

A framework that evaluates a company's commitment to social, environmental, and economic responsibilities.

Stakeholders' Theory

The view that businesses should create value for all parties with an interest in the organization's actions.

Corporate Social Responsibility (CSR)

A model in which companies operate in ways that enhance society and the environment.

Economic Sustainability

The practice of backing financial decisions with a commitment to positive societal impacts.

Legal Responsibility

The obligation of companies to operate within the laws and regulations set by society.

Ethical Responsibility

The commitment of businesses to conduct fair and ethical practices.

Philanthropic Responsibility

A business’s aim to contribute positively to society through charitable efforts.

Business Ethics Principles

Guidelines such as integrity, honesty, fairness, respect, and accountability that ethical businesses adhere to.

Difference between Social Responsibility and Business Ethics

Social responsibility focuses on societal impacts, while business ethics addresses internal organizational morals.

Social Responsibility

The duty of organizations to balance between societal, economic, and environmental interests.

Business Ethics

Moral guidelines that govern a company's actions and decisions.

Triple Bottom Line (TBL)

A framework that evaluates a company's commitment to social, environmental, and economic responsibilities.

Stakeholders' Theory

The view that businesses should create value for all parties with an interest in the organization's actions.

Corporate Social Responsibility (CSR)

A model in which companies operate in ways that enhance society and the environment.

Economic Sustainability

The practice of backing financial decisions with a commitment to positive societal impacts.

Legal Responsibility

The obligation of companies to operate within the laws and regulations set by society.

Ethical Responsibility

The commitment of businesses to conduct fair and ethical practices.

Philanthropic Responsibility

A business

Business Ethics Principles

Guidelines such as integrity, honesty, fairness, respect, and accountability that ethical businesses adhere to.

Difference between Social Responsibility and Business Ethics

Social responsibility focuses on societal impacts, while business ethics addresses internal organizational morals.

What is Utilitarianism in business ethics?

An ethical theory suggesting that the most ethical choice is the one that will produce the greatest good for the greatest number of people.

What is Deontology in business ethics?

An ethical theory that judges the morality of an action based on adherence to rules or duties, rather than its consequences.

What is Virtue Ethics in business ethics?

An ethical theory that focuses on the character of the moral agent rather than the rules or consequences of actions, emphasizing virtues like honesty, integrity, and compassion.

What is a Code of Business Ethics?

A formal document that outlines an organization's ethical values, principles, and expected standards of conduct for its employees and stakeholders.

What are the initial steps in creating a Code of Business Ethics?

1. Determine the Scope & Purpose: Identify core values and ethical challenges. 2. Involve Stakeholders: Gather input from employees, management, and other relevant parties.

What are the development and implementation steps for a Code of Business Ethics?

3. Draft the Code: Clearly articulate principles and guidelines. 4. Communicate & Train: Ensure all employees understand the code through training and consistent messaging.

What are the maintenance steps for a Code of Business Ethics?

5. Establish Reporting Mechanisms: Create clear channels for reporting violations (e.g., whistleblowing policies). 6. Review & Update: Periodically assess and revise the code to adapt to new challenges and regulations.