Test: Social Responsibility Of Business - 1 - Commerce MCQ

Social responsibility of business refers to its obligation to take those decisions and perform those actions which are desirable in terms of the objectives and values of our society.
Social responsibility is broader than legal responsibility of business. Legal responsibility may be fulfilled by mere compliance with the law. Social responsibility is more than that. Social responsibility involves an element of voluntary action on the part of business for the benefit of society.

In this situation survival of business is endangered due to enormous social illnesses. A society with fewer problems provides better business environment for a firm.

Environmental pollution, unsafe workplace, corruption in public institutions, and discriminatory practices in employment are some of the social problems which can be solved with the help of business people.

A business enterprise must behave as a good citizen and act according to the well accepted values of the society following government regulations and protect the environment for the benefit of the community.

Everything around us comes in Environment and its duty of everyone to conserve it before it is depleted. Therefore, efforts of Scientists, Government, Business people counts to conserve the environment.

Carbon monoxide emitted by automobiles directly contributes to Air pollution. Carbon monoxide (CO) a colorless, odorless, tasteless, and toxic air pollutants produced in the incomplete combustion of carbon-containing fuels, such as gasoline, natural gas, oil, coal, and wood.

An effective pollution control management system will always lead to cost saving because an improper system results into greater waste and higher cost for waste disposal.
Due to good pollution control management system there will be less pollution which will help in improving the environment quality hence reducing health hazards. Having a proper functioning pollution control system will reduce the risk of any legal action against the business therefore keeping the business out  of any liability.

Good business ethics are capable of doing the maximum good to society. This is because business ethics refer to the moral values and principles that an enterprise needs to follow in order to work in the interest of society. Thus, as good business ethics are desirable from the viewpoint of society, they contribute towards societal welfare more than business success, law and regulations and professional management of an industry.

Ethics are necessary to top management, middle level managers and non-marginal employees because a business cannot discharge social responsibilities without ethical practices and good ethical practices also affects the decision making process in a company.

Involvement of employees in ethics programmes is essential as it is the employees at different levels who implement ethics policies to make ethical business a reality.