Monday, August 26, 2019
Nestle Profit Making Essay Example | Topics and Well Written Essays - 750 words - 2
Nestle Profit Making - Essay Example His stance regarding that there is no social responsibility inherent for corporations directly coincides with the idea that was presented by Milton Friedman in that private expenditures on social or environmental objectives represents dollars stolen from the pockets of shareholders and employees. (Redman, 2006 p 96) This theory is a principle approach by Milton Friedman and in many ways, it is a beneficial approach monetarily, at least initially. What is important to understand is that the sole purpose of many privately created companies is to generate profit. Because they are private they have no responsibility except to their employees and owners. However, publicly traded companies are increasingly being seen as having a greater social responsibility given their large number of Ã¢â¬Å"ownersÃ¢â¬ via stock or shareholders. According to some corporate social responsibility is really just a brilliant marketing strategy, it serves purely to enhance the corporationÃ¢â¬â¢s image and increase market shares. (Pardy, 2009 p 9) This leads to the easy assumption that many corporate organizations actually embrace or more traditional model and that they simply market or outwardly represent a more beneficent model of corporate social responsibility. These organizations may not view efficiency as a type of CSR, simply because efficiency is a necessary operating approach for profit-making versus becoming efficient to reduce carbon emissions. However, even a small amount of community or social awareness and minor changes in approach can affect the long-term sustainability in such a way that it benefits everyone including the shareholders and the employees. There are the other CSR fields that are not directly climate or earth related and can affect the consumer base directly as well. If there is no desire to promote the health and well-being of the consumer base then there is the potential for a loss of market due to a sharp potential decline in the consumer base.