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Corporate Social Respocibilty: How Acceptable Is It?

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CORPORATE SOCIAL RESPOCIBILTY: HOW ACCEPTABLE IS IT?

INTRODUCTION
In its regular functioning, organisations can have immense negative impact on its environment. The most obvious example being oil spills and deforestation for industrialisation, but industries as different as chemical manufacturing, mining, agriculture and fishing can do permanent damage to local ecosystems. Globalisation and its irreversible effects can also be blamed to a large extent to these organisations. While end consumers of these industries who demand the products these organisations manufacture are at fault too, it is undeniable that many corporations have ignored their social responsibility and simply focused on their profitability at the stake of harming their immediate environment.
In the context of this unacceptable policy, some fractions of the corporate world have started to accept a philosophy that focuses on both profit as well as functioning ethically. This principle, called Corporate Social Responsibility (CSR) refers to initiatives taken by an organisation to measure and reduce the negative impacts it has on its environment. It generally refers to the extra efforts taken by the organisation to focus on the social wellbeing of all its stockholders and to the world at large.
ABOUT CORPORATE SOCIAL RESPONSIBILITY
Companies at times invest in local communities in order to compensate for the negative impacts their operations might have. The most obvious way might be to donate money to charity. Or, a firm that begins to operate in a socially backward community consisting of people from the lower economic classes can build schools, hospitals in that area or improve infrastructure. Similarly, an organisation that diversifies into pharmaceuticals, may spend on research and development in sustainable technologies even though it might not yield immediate monetary benefits for them. The…...

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