About social responsibility

In this project: The City-Based Distributor of Fruits and Vegetables

In this project, the company to be taken into account is a city-based distributor of fruits and vegetables. It distributes in urban and suburban areas after purchasing fresh produce from farmers in rural areas. By providing clients with high-quality food that keeps them healthy and by conducting business in an honest, fair, and transparent manner, the company has demonstrated its commitment to social responsibility and ethical behavior.

Business Decisions and Ethical Implications

Where to get the raw fruits and vegetables is one of the business decisions made within the corporation. Farmers from diverse regions offer products of varying quality and cost. The business might buy low-quality goods and sell them for a high price to turn a profit. The company could also decide to buy quality products and sell them at reasonable prices. Another option is to buy cheap products from illegal suppliers to make good profits. Under these circumstances, the company should decide on the right thing.

The business decision may result in significant ethical implications. First, it may affect the company’s image. Purchasing products of poor quality and selling them at high prices may create a negative image. The company needs to be honest in dealing with its suppliers and customers. Engaging in unfair trading practices may pose significant ethical challenges. The company may lose trust from customers and face legal restrictions from the industry regulatory bodies. Poor quality may also cause low customer satisfaction, leading to reduced sales and low profits in the long run (Weiss, 2009). Furthermore, fruits and vegetables are perishable commodities and could cause health problems to consumers if quality control is not managed effectively. Decisions that could lead to the supply of risky products may cause backlash and potential lawsuits from consumers and the community.

Making Ethical Decisions for Customer Satisfaction and Profit

The company may make ethical decisions by purchasing quality products from trusted suppliers, leading to consumers’ trust and customer satisfaction; hence increasing sales and profits. Fairness and honesty in business practices also improve the company’s image, leading to increased customers and revenue potential (Weiss, 2009). Fair trade practices also strengthen the company’s relationship with stakeholders such as customers, suppliers, the community, and regulators.

Dealing with Dilemmas in Decision Making

Due to these ethical implications, the company has to deal with decision-making problems. While it may be tempting to increase profit margins through unfair practices, doing so could put the company in serious problems (Weiss, 2009). In this regard, managers are always in dilemma when making such decisions. The ethical dilemma causes the decision-making process to be a long process as the decision-makers may not always agree on specific choices. When making decisions, the company considers whether the decision is right for the company, stakeholders, and the community.

Accepting Unethical Decisions for Consumer Acceptance

Sometimes the decision may not be ethical but the results are acceptable to the consumer. For example, the company may bribe an agricultural association to get the supply of fresh fruits and vegetables. The products may be safe, healthy, and of high quality, but the process of sourcing them is unjust. Therefore, the decision-maker may overlook the ethical concerns involved in the process. The decision-makers also consider their individual moral philosophies and interests when making decisions. Conflicts of interest may arise during the decision-making process, causing poor decisions.

Corporate Social Responsibility and Its Impact

Corporate social responsibility involves balancing the economic and social activities of the organization (Zerk, 2006). In this case, the company should protect the environment and support communities to achieve social welfare. Social responsibility enhances a balanced equilibrium between economic and social benefits. The company exercises corporate social responsibility carrying out activities that benefit the community. For example, the company promotes healthy and safe consumption by providing quality products. The company also engages in environmental protection by supporting organic food. The production of organic food ensures that chemicals are not used to pollute the soil, water, and air; hence keeping the environment clean and reducing climate change.

Improving Company Image and Relationships

Corporate social responsibility has a significant impact on the organization. It may be used as a business strategy to improve the company’s image, attract customers and promote customer satisfaction and loyalty (May, Cheney, and Roper, 2007). Corporate social responsibility may enhance competitive advantage by winning the trust and loyalty of customers. It also improves the company’s relationship with customers, suppliers, and local communities. By protecting the environment and local communities, the company gains trust from all stakeholders. As a result, the company builds a mutual relationship with other stakeholders.

Applying Critical Thinking to Corporate Social Responsibility

Critical thinking may be applied to corporate social responsibility by following a rational process of evaluating alternative choices of business practices and decision-making. When the company is making decisions or trying to solve a problem, critical thinking is required to make unbiased decisions that will benefit all stakeholders, the community, and the environment. In critical thinking, the individual is required to think critically about the consequences of their choices. If the CSR activity is considered to be beneficial to a larger community, it should be implemented.

References

May, St., Cheney, G., and Roper, J. (2007). The Debate over Corporate Social Responsibility. Oxford: Oxford University Press.

Weiss, J.W. (2009). Business Ethics: A Stakeholder and Issues Management Approach With Cases 5 ed. Mason, OH: South-Western Cengage Learning.

Zerk, J.A. (2006). Multinationals and Corporate Social Responsibility: Limitations and Opportunities in International Law. Cambridge, UK: Cambridge University Press.