In the video case study on Warby Parker, the eyewear retailer demonstrates its business policies of being ethical and being socially responsible by donating a pair of glasses for each pair purchased to developing and poor countries. Warby Parker partners with the non-profit VisionSpring to bring glasses to those who do not have access to them in other countries. This type of partnership is considered a form of corporate social responsibility called corporate philanthropy. Corporate philanthropy is listed in our textbook as donations to non-profits of all kinds. Warby Parker does this by donating the cost to make eyeglasses to VisionSpring. VisionSpring helps trade people, mainly women, in these developing countries so they can make and treat
Kevin C. Robbins (2006) says modern organizations can trace their origin to the philanthropists who feel a sense of moral or spiritual obligation to a cause (p.13). It is at the basis of human relationships and civilization to care for the needs of others, and has been for centuries. Nearly every religion emphasizes in some way the spiritual and moral responsibility of individuals to contribute to others. Ancient Jews saw charitable giving as essential and imperative (Robbins 2006). It was expected that they participate in almsgiving for the poor, widows, and orphans. The Roman Empire contributed to our modern view of philanthropy, also. They had a sense of obligation to civilization to formalize and regulate philanthropy (Robbins 2006, p.17) Christianity has also greatly influenced the motives of philanthropy worldwide by encouraging the practice of self-sacrifice for the good of others in need.
They’ll want to ensure their donations are going to the right charities and they are doing as much as they feel is appropriate. They’ll also want to look to their various social initiatives. Are they offering aid that is “directly related to the company’s competencies” (Nickels, 104)? They’ll also want to review their own corporate policies. Are they hiring employees in a fair manner? Do they provide a safe workspace for their employees and their customers? Are they reducing their carbon emissions and being energy efficient throughout their Megamarts? Are they giving time to their employees to volunteer and assist their communities? If the answer to any of those questions are no, they can take action to adjust their policies to move themselves back towards their goals of being socially
Firstly, is the Is the organization’s economic responsibility met? Under the circumstances, I would consider this criterion met.To enumerate that point the company is valued at over $200 million, strong financial results have been achieved in less than 10 years. With the company's plans to increase the number of operations to 200 new stores, this will continually be met. By offering a product that is desirable for people living an active lifestyle Lululemon will continue to thrive. Legal responsibility is public addressed by the belief that “every person we hire, garment we create, store we open, customer, we educate and yoga class we attend contributes to building a legacy in our communities”. Lululemon works with different outlets to try and achieve a healthier and more informed community as to how the business is conducted. By introducing the new organic fiber line they demonstrate ethical responsibility. As a leader in the industry, Lululemon has set the bar high for community initiatives. Their discretionary responsibility is perceived by focusing charitable giving programs to the specific areas Lulu is located they have further connected themselves with the community. Not only is the money guaranteed to go back to the community, the citizens also have the opportunity to dictate which charity the funds should be applied too. An example of one of the activities is the Active Kids Movement program. Lululemon is a perfect example of social performance by meeting all the criteria.
Many companies are now looking into their business practices and how it benefits society. Corporate responsibility continues to be impacted as consumer awareness to global issues grows. For example, a small locally owned grocery store located in a metropolitan area just closed the doors to two stores located in high-crime-rated areas of the city due to no financial gains. The store just added a health conscious section for consumers that requested a need for it in the store, even though the cost and marginal is higher than most options in the store. With all of that going on the owner of the store was approached by a local food bank for one day old products that can be donated to them to help the community. The owner declined to help by citing that he feels by help he is opening a chance for loss of revenues due to employees not being honest. He thinks that his employees will just say that products are being donated when they are stealing.
As Standard Oil Company’s founder, John D. Rockefeller passed out dimes to hungry children over one hundred years ago, “he believed he was fulfilling some sort of social responsibility” (Kreitner, 2008, p.55). Rockefeller may have been the pioneer of enlightened self-interest. When Chiquita partnered with the non-profit environmental group, Rainforest Alliance, to clean up its farms and working conditions, Chiquita was ultimately helping itself by helping its brand image and its own bottom line, not corporate philanthropy with a non-profit. This form of enlightened self-interest is different from other partnerships with non-profits because Rainforest Alliance “does not accept donations from companies that it certifies” (Kreitner, 2008, p. 71).
Warby Parker’s practices are definitely a great example of corporate social responsibility. This is highly exemplified in Wary Parker’s donation program in which the company donates a pair of eyeglasses for every purchase made. Simply put, buy one, and get one donated. This is especially significant considering that Warby Parker is relatively new to the eyewear industry, where the vast majority of eyewear brands are under Luxotica. One can see that this attests to the true character of Warby Parker in that instead of following the leading brands in eyewear, Parker created its own brand and representation- a representation of giving back to society. Moreoever, Warby Parker treasures its customers. By doing business exclusively online, the company
The corporate social responsibility is a commitment by a business to contribute to economic development while improving the quality of life for employees and their families’ as-well as contributing to the society. Walmart is a well-known company that offers customers the items they want and need at a low cost, with nearly 4,000 stores in the United States. According to the Fortune 500, Walmart was ranked number 1 in 2015. Just like any other superstore Walmart needs to continue the use of social responsibility by recreating a relationship between business and the community especially if they want to dominate the competition in 2016. The use of sustainability, strategic philanthropy, causing market, shared values, stakeholders and global perspective will help readers understand the purpose of social responsibilities in the corporate world.
In the words of Kirh O Hanson “business ethics is the study of the standards of business behavior which promotes human welfare and the good.”
A company can choose between Philanthropy CSR and Strategic CSR depends on the company’s inspiration and motivations. Summer Breeze Lemonade company was inspired by the owner’s daughter by her unconditional love towards animals. This company promises to donate funds to elongate the stay of an animal in need of a home. Summer Breeze Lemonade company will donate a small percentage from daily profits earned to a local human society in the San Fernando Valley. This is an example of Philanthropy CSR. This act involves contributions of money, time and goods to estimable charities without the connection of business
By using their existing expertise, resources and facilities the efficiency of their philanthropic initiatives may be enhanced. However, this type of philanthropy usually addresses areas with little relevance to the company’s stakeholders. Because of its internal focus, constricted philanthropy often tends to neglect stakeholder needs and expectations. Charitable activities are often restricted to the company’s core operations, utilizing their own products, services and unique skills of their employees.
Corporate Philanthropy report. June2015. Vol 30 Issue 6, p1-12.2p. Based on the study it was found that 64% of respondents to the study indicated that it was important to buy products and services from companies that is socially responsible. It was further found that 65% of respondents indicated through action that they will continually buy from a company that is socially responsible.
Stakeholder power, business management, organizational culture, and business ethics are factors that impact corporate social responsibility. In this regard, these factors challenged business firms to create positive impact to society and conform to the overriding expectations of consumers at large. Companies receive rising pressure from governments, competitors, and stakeholders to play the leading role in social responsibility by addressing a wide range of environmental, public, and governance concerns – varying from climate change to obesity to human rights – in a company’s supply chain (Bonini et al 2011.). These growing concerns of social groups in political and environmental issues has led companies to generate mechanisms as well as contract between business and society of addressing these issues and entering into a free market agreement.
A significant part of business is ethical, its code values and the trust. Anything illegal is not necessarily ethical, but by law, the expectation of the business is to be fair and ethical, and not abusive and predatory. Any unethical abusive practices may not be illegal, but the harm leaves the consumer stripped of self-respect, wealth, and ruins their life. In some instances, a very narrow line divides the action becoming unethical and fraud instead of ethical and legal.
While on exchange in Australia, I was employed as a part-time waitress at a chocolate café. My duties included taking orders, washing dishes, and making and serving food and beverages. I was lucky to be hired, as it was difficult for students and backpackers to find part time work in the city I was living in. The café was a part of a larger franchise, where the owners were rarely present. At the site, constraints included a lack of resources and attention.
Philanthropy is powerful because everyone can be affected by the love for mankind, this can change the world for better. Philanthropy is not the practice of self importance and putting yourself above others. Philanthropy and its power of changing the world is about donating to charity your time, belongings, or even sharing kind words or advice in an effort to better others. It is about giving to others less fortunate, and caring about other humans. Whether you know them or not, helping others and caring for the welfare of those less fortunate can change the world. One person can change the life of someone else's by one simple act of charity or kindness. Bill Gates is a wonderful example, due to his material advantages, he can give his belongings to others to help them, rather than keeping all his success to himself. Over his lifetime Mr. Gates donated $27