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Ethical And Socially Responsive Business


Businesses these days are not just majorly concerned only with the profits that they can earn. Instead, the businesses are becoming more and more responsible both ethically as well as socially. When we say being responsible is important, it does not only imply legal obligations and/or economic obligations. There are social obligations too, that are to be looked after by the organizations. Any organization has to be interested in the politics of its native country, the social welfare of the people, aiding the education sector as well as the happiness of its employees.

Social responsibility of a business can therefore be defined as the obligation the business and its decisions and actions have on the people and the society in general. Thus, a business needs to be socially responsive by adhering to the basic set of rules of conducting business. The rules should be such that there is no harm to the society and the environment while conducting business. There is now a trend of maintaining a relationship between the corporates as well as the society as a whole. This results in businesses and the top managers to develop schemes and methodology in favor of the whole world.

It is also believed that the ethical values, which include conducting business using moral values and guidelines, are essential. The performance of the firms has had a positive effect, as recognized by the managers, due to implementation of the good ethics. It has also been reported that due to the integration of work ethics in work culture, there has been an increase in the values, integrity and responsibility among employees. These factors, in turn, help in increasing the performance of the individuals that provide them with job satisfaction.

Though, the popularity of ethically and socially responsive businesses is increasing and there has been addition of credits as a result, yet there are certain organizations that fail to manage these aspects. There are several corporate agencies and non-governmental organizations, which aim to work in favor of accelerating this process. They help in developing corporate social responsibility features in a firm and participate in promotion of ethics within the businesses. Since, the increase in the awareness among society as well as employees makes it essential to work in the welfare of individuals, hence the business needs to be under social and moral obligation, which can help in attaining success, and increase the credibility of the firms.