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Est1 Task 301.2.1-05

In: Business and Management

Submitted By hlansford
Words 978
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EST1 Task 310.2.1-05

In the business world, social responsibility and profitability often are dependent upon one another. Many companies view social responsibility as being just as important, if not moreso, as making a profit. May times, the community relies upon local businesses upholding a certain level of social responsibility. Company Q is one company that is not setting, or meeting, a standard of social responsibility. Company Q’s actions show that the company places profitability at a higher level of importance than social responsibility. Company Q is not making an effort to be socially responsible, which may have played a part in the lack of profit of the closed stores. Many people in the community are unable to provide basics, such as food and water, for their families. In an effort to assist these people, food banks reach out for help from the community, in the form of monetary and food donations. One of the more common donation sources is grocery stores. Some grocery stores donate their day old and damaged food items to food banks. This gives the food to the local food banks, which is then given to the needy people in the community. This is a relatively easy thing to do, and something which utilizes a product which would likely be disposed of anyway. Company Q has failed to take this important, and much appreciated, step towards showing that it is socially responsible. The company’s choice to not donate the day old food is telling the community that their needs are not important to Company Q. By citing lost revenues as the reason for not donating, Company Q is showing that they value profit over being socially responsible. Company Q is not taking into consideration that other companies are making donations to the food bank, and likely face the same issues that Company Q is giving as a reason to not donate. The loss of day old products from throwing them away is essentially no different than any perceived possible loss through employee theft and fraud. Using this as a reason is ludicrous. Company Q should do the socially responsible thing and give the product to the local food bank, and take the chances that the product would be stolen by the employees, than do nothing at all, and guaranteeing that those in need will not receive the food donation. Company Q should immediately establish a guideline that they will begin donating day old food, instead of throwing it away. To lessen the likelihood of employee theft, Company Q should keep the food in an off-limits location, and check with the food bank to see if there is the option of pick-up. If the food bank is unable to pick up the food, Company Q should designate a trusted employee, or two, as being responsible for product delivery. Donating food to the local food banks will show the community that Company Q does care about them, and will prompt people to purchase from them, which will then increase their profits. The health of the community is also very important. To help the community in their efforts to be healthier, local businesses have a responsibility to provide goods and services that make it easy for the community to do so. Waiting years to introduce an admittedly limited quantity of organic and health-conscious products, even though the community had been requesting these items, is not portraying a responsible image at all. Although Company Q might experience a loss initially, once the community realizes that the company is making an effort to provide that which they demand, word will spread, and sales will increase. Company Q cannot undo time, and provide these items when they were first being demanded, however, they can ensure that they now carry a good selection of these items. Members of the community are going to shop elsewhere, perhaps even out of town, if they do not have a local option for these items they so desperately want. By ignoring the community’s demands, Company Q has shown, yet again, that their bottom line is more important than the needs of the community. Company Q should make the decision to provide a variety of products for the health conscious consumer. In an effort to minimize costs, perhaps carrying a limited stock in those products, until sales increase, would offset potential loss for the company. By doing so, they will provide the goods that the community is requesting, showing that they are, indeed, a socially responsible company, while still making a profit.
Company Q can also show social responsibility in the sales or special offers that they run. Perhaps, during the holidays, making donations to local charities, based on sales, would prompt customers to shop at Company Q because they know that Company Q is being responsible and helping those less fortunate. Offering special discounts on certain days of the week to the elderly is another way that Company Q can demonstrate their commitment to being socially responsible. Another option is, perhaps, setting up a food drive, or another charitable event, using their stores as headquarters. The ways in which Company Q can show their support and responsibility toward the community are limitless. Performing these small tasks will instill a sense of pride in the company and the community, as all will benefit from the steps that Company Q have taken to be more socially responsible. In conclusion, Company Q’s current direction, in regards to social responsibility is a recipe for disaster, for the company and the community. Company Q has shown that they are driven by profit. The community sees this and will not patronize a community that is unwilling to do the “right” thing. With the changes outlines herein, Company Q can become a well-respected member of the community, while ensuring the business is profitable as well.…...

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