New Meaning of Corporate Social Responsibility Case Solution
This Case is about POLICY, SOCIAL RESPONSIBILITY
PUBLICATION DATE: January 01, 1998
Since numerous modern American corporations continue to exemplify high amounts of corporate social responsibility, almost all publicly held companies are finding themselves under growing pressure from the investment community to optimize shareholder value. Because of this, the interests of the company’s non-shareholder constituencies are being ignored. The officials must step in and function as arbiter, enacting regulations and rules that define what we expect of corporations in the way of such matters as working conditions, environmental protection, and job training. But since the political procedure makes up the only remaining vehicle for the expression of non-shareholder stakeholders, if corporate supervisors want to be free to optimize shareholder value, it’s not appropriate for their sake to participate in shaping public policy.