DEFINITION OF SOCIAL RESPONSIBILITY
(1) According to Howard R. Bowen social responsibility means, “obligation of business to pursue those policies, to make those decisions, or to follow those lines of action which are desirable in terms of the objectives and values of our society.”
Need for Social Responsibility
(1) To avoid excessive government interference/regulation (social control of private ownership) in the conduct of business activities.
(2) To avoid misuse of natural resources and economic power available with businessmen/ corporate sector.
(3) To avoid class-conflicts by giving fair treatment to all social groups.
(4) To establish a better public image and to have cooperation from all (i.e. society) for the expansion of business activities.
(5) To fulfill long-term self-interest i.e. to create favourable environment for business expansion.
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