Analysis of the basic management ethics theory for both models of CSR
Carroll (1991) states that with regard to ethical responsibilities; it is vital: 1- To act upon in a way harmonious with what social and ethical values expecting. 2- Respect new or developing ethical norms and values that accepted by community. 3- Avoid sacrificing ethical values for corporate goals achievement. 4- Define good corporate citizenship with the idea of acting what is expected as moral and ethical. 5-Recognize the fact that integrity and ethical performance go beyond the obeying the laws and public rules.
Basic management ethics theory for both models of CSR Carroll (1991), in his pyramid model states that, corporations should avoid any actions or behaviors that are forbidden by the society and get involved in activities and practices that are …show more content…
Basis for this claim are numerous. One-The pyramid model highlights the significance of the economic part as the essential component and dependence of other components on the economic part. Meaning a business corporation is considered socially responsible if its financial performance is high. This implies that companies with positive reputation for their CSR have positive financial performance and vice versa. Base on many researches on companies’ reputation, CSR impact on reputation can positively affect the corporate financial performance (CFP) via its effect on reputation. On the contrary, CFP can be damaged through the lack of CSR because absence of CSR negatively affects the reputation. Two- “the CSR pyramid model is presented as an expectations-based model” (Geva, 2008, p12). Finally, the pyramid model recommends that companies with high reputation in CSR have high financial results because only the high performing companies can pay for the high cost of luxury social
Carroll (1991) states that with regard to ethical responsibilities; it is vital: 1- To act upon in a way harmonious with what social and ethical values expecting. 2- Respect new or developing ethical norms and values that accepted by community. 3- Avoid sacrificing ethical values for corporate goals achievement. 4- Define good corporate citizenship with the idea of acting what is expected as moral and ethical. 5-Recognize the fact that integrity and ethical performance go beyond the obeying the laws and public rules.
Basic management ethics theory for both models of CSR Carroll (1991), in his pyramid model states that, corporations should avoid any actions or behaviors that are forbidden by the society and get involved in activities and practices that are …show more content…
Basis for this claim are numerous. One-The pyramid model highlights the significance of the economic part as the essential component and dependence of other components on the economic part. Meaning a business corporation is considered socially responsible if its financial performance is high. This implies that companies with positive reputation for their CSR have positive financial performance and vice versa. Base on many researches on companies’ reputation, CSR impact on reputation can positively affect the corporate financial performance (CFP) via its effect on reputation. On the contrary, CFP can be damaged through the lack of CSR because absence of CSR negatively affects the reputation. Two- “the CSR pyramid model is presented as an expectations-based model” (Geva, 2008, p12). Finally, the pyramid model recommends that companies with high reputation in CSR have high financial results because only the high performing companies can pay for the high cost of luxury social