There are three (3) models of CSR, which are alternatives to the economic models. The model of CSR claims that businesses are not obligated to social responsibility outside the limits of economic and legal obligation because the businesses are created to fulfill economic responsibility and expect to follow the law created by the society (Hartman, DesJardins & MacDonald, 2014, p. 216 ~ 217). All corporations have a social responsibility for manufacturing and distributing products through interstate commerce. However, some fundamentalist and business practitioners argued that CSR should be abandoned to establish better alternatives. According to Freeman & Liedtka (1991, July – August), CSR approach is not helpful to the society. They stated that
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For instance, World Economic Forum (WEF) is global organization that its mission is to shape the globalized industries and identify challenges, answers, and possible alternatives collaboratively with other stakeholders. Also, WEF engages leaders in various fields: political, business, academics, and other leaders of society to tackle the issues related to economic growth, environmental sustainability, financial systems, health, and social development. (World Economic Forum, 2015). Similarly, Batruch (2011) stated that an oil company in Sudan has collaboratively engaged in CSR activities with multi-stakeholders. Lundin Petroleum hired corporate responsibility manager to develop CSR framework, which was implemented in its business strategy. Lundin’s efforts to develop CSR framework became a valuable tool for its business strategy in which the framework provide Lundin with the ability to tackle environmental, social, and political issues. Lundin was successful in managing its business across the globe by taking collaborative approach to practice the CSR initiatives. Thus, collaborative approach to CSR increases the potential for success in business because Lundin Petroleum proved that CSR can be used as a tool for the business strategy, which would help …show more content…
According to Klonoski (1991), Gibson and Danley argued that a business cannot be considered as a moral person or agent because a person who operates a business can be held reliable by the law for his action; however, a business cannot be prosecuted under the law. Also, Gibson and Danley denied the claim that corporations are a member of the moral community because corporations are not a living organism, therefore, businesses are not “a member of moral community” because a business cannot be morally obligated like an individual since it lacks the capacity to respond to moral obligation (Klonoski, 1991, p.
For instance, World Economic Forum (WEF) is global organization that its mission is to shape the globalized industries and identify challenges, answers, and possible alternatives collaboratively with other stakeholders. Also, WEF engages leaders in various fields: political, business, academics, and other leaders of society to tackle the issues related to economic growth, environmental sustainability, financial systems, health, and social development. (World Economic Forum, 2015). Similarly, Batruch (2011) stated that an oil company in Sudan has collaboratively engaged in CSR activities with multi-stakeholders. Lundin Petroleum hired corporate responsibility manager to develop CSR framework, which was implemented in its business strategy. Lundin’s efforts to develop CSR framework became a valuable tool for its business strategy in which the framework provide Lundin with the ability to tackle environmental, social, and political issues. Lundin was successful in managing its business across the globe by taking collaborative approach to practice the CSR initiatives. Thus, collaborative approach to CSR increases the potential for success in business because Lundin Petroleum proved that CSR can be used as a tool for the business strategy, which would help …show more content…
According to Klonoski (1991), Gibson and Danley argued that a business cannot be considered as a moral person or agent because a person who operates a business can be held reliable by the law for his action; however, a business cannot be prosecuted under the law. Also, Gibson and Danley denied the claim that corporations are a member of the moral community because corporations are not a living organism, therefore, businesses are not “a member of moral community” because a business cannot be morally obligated like an individual since it lacks the capacity to respond to moral obligation (Klonoski, 1991, p.