Societal Issues: Modeling ethics of care
Taking a Stand on social issues:
Introduction:
In today’s world where societal issues (such as health, environment, social justice, and human rights issues) continue to take center stage in every area of our lives, there has been an increasing importance to address these issues. Firms are beginning to weigh in on such issues showing an increasing contribution and subscription to ethics of care. This paper takes a look at CEO influence, reasons why firms decide to take a stand on societal issues and what happens when they decide to do so. When organizations make decisions based on ethics of care, there may be consequences for such decisions. Guidelines and strategic approaches on how to address such decisions …show more content…
However in the past few years, socio-political activism by business leaders have increased in frequency and institutional acceptance; this shift is mainly due to the pressure from stakeholders such as employees and consumers to weigh in on social issues. (Hadani, 2016; Weinzimmer & Esken, 2016). McDonnell et al. (2015) and Hadani et al. (2016) note that social movement organizations have also been exerting pressure on corporate activities in areas such as human rights, environmental protection, and labor policies as a means to compel firms to take a more active role in ethics of care. McDonnell (2015) and Hadani et al. (2016) highlight that such pressures can influence a firm’s receptivity to social activism in order to avoid the unwelcome attention and disruption to existing …show more content…
Hond (2014) argues that a firm’s active role in corporate social responsibility initiatives is political and seeks to secure favourable political conditions for the firm’s benefit. Weinzimmer & Esken, 2016 on the other hand, highlight that when companies get involved in societal issues, it can positively influence the firm’s financial performance. In addition, a firm’s active role on social issues may enhance the credibility and economic performance of a firm’s CSR strategy and commitment.
Reputation, which is related to competitive advantage, is another reason why firms take an active role in social issues (Hond, 2014). McDonnell (2015) supports this reason and gives Nike as an example. In the early 2000s, Nike learned that taking a more open approach to activist stakeholders could help restore the brand’s reputation and image by getting involved in socially laudable values such as taking on sustainability initiatives, addressing diversity, equal opportunity, and labour practices issues, and getting involved in charitable foundation activities (McDonnell, 2015). This is consistent with Hond’s (2014) statement that public advocacy is seen as the desired evidence that the company is serious about pursuing a responsible course, which is good for the firm’s image that is why some firms get involved in social
Taking a Stand on social issues:
Introduction:
In today’s world where societal issues (such as health, environment, social justice, and human rights issues) continue to take center stage in every area of our lives, there has been an increasing importance to address these issues. Firms are beginning to weigh in on such issues showing an increasing contribution and subscription to ethics of care. This paper takes a look at CEO influence, reasons why firms decide to take a stand on societal issues and what happens when they decide to do so. When organizations make decisions based on ethics of care, there may be consequences for such decisions. Guidelines and strategic approaches on how to address such decisions …show more content…
However in the past few years, socio-political activism by business leaders have increased in frequency and institutional acceptance; this shift is mainly due to the pressure from stakeholders such as employees and consumers to weigh in on social issues. (Hadani, 2016; Weinzimmer & Esken, 2016). McDonnell et al. (2015) and Hadani et al. (2016) note that social movement organizations have also been exerting pressure on corporate activities in areas such as human rights, environmental protection, and labor policies as a means to compel firms to take a more active role in ethics of care. McDonnell (2015) and Hadani et al. (2016) highlight that such pressures can influence a firm’s receptivity to social activism in order to avoid the unwelcome attention and disruption to existing …show more content…
Hond (2014) argues that a firm’s active role in corporate social responsibility initiatives is political and seeks to secure favourable political conditions for the firm’s benefit. Weinzimmer & Esken, 2016 on the other hand, highlight that when companies get involved in societal issues, it can positively influence the firm’s financial performance. In addition, a firm’s active role on social issues may enhance the credibility and economic performance of a firm’s CSR strategy and commitment.
Reputation, which is related to competitive advantage, is another reason why firms take an active role in social issues (Hond, 2014). McDonnell (2015) supports this reason and gives Nike as an example. In the early 2000s, Nike learned that taking a more open approach to activist stakeholders could help restore the brand’s reputation and image by getting involved in socially laudable values such as taking on sustainability initiatives, addressing diversity, equal opportunity, and labour practices issues, and getting involved in charitable foundation activities (McDonnell, 2015). This is consistent with Hond’s (2014) statement that public advocacy is seen as the desired evidence that the company is serious about pursuing a responsible course, which is good for the firm’s image that is why some firms get involved in social