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Cite some ethical and social responsibility that might faced by the small business...

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tinynila7 | Student | eNotes Newbie

Posted October 22, 2009 at 9:25 AM via web

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Cite some ethical and social responsibility that might faced by the small business managers with their environment, customers and employees?

Business Environment

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Ashley Kannan | Middle School Teacher | (Level 3) Distinguished Educator

Posted October 23, 2009 at 6:59 AM (Answer #1)

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A fundamental predicament faced by small businesses revolves around the notion of being intimately connected with employees and stakeholders and then being consumed with profit making motives.  Naturally, a balance should be and can be struck where both elements can be present.  However, an ethical challenge that small businesses face would be how to navigate the desire to remain true to their particular niche or vision and the passion to increase profitability.  This becomes a central challenge for all small businesses because their intimate nature is one of connection with clients and employees.  At the same time, the desire to increase profit underscores this particular commitment to nature and identity.

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krishna-agrawala | College Teacher | Valedictorian

Posted October 24, 2009 at 12:31 PM (Answer #2)

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The wording of this questions is somewhat confusing. Social responsibility is the responsibility towards the society in general and not just towards some specific groups of people such as customers, or some specific issues such as environment. Also, I believe, ethics refers to behaviour resulting from awareness and acceptance of one's responsibilities towards others and sincere efforts to act in line with these responsibilities. There is nothing like ethical responsibilities. Also the general nature of responsibilities of small business managers is no different from those of big business managers. Therefore, I will answer this question by describing responsibilities of managers towards environment, customers, and employees.

Responsibility towards environment:

All managers are responsible to ensure that their company and its employees do not engage in any activities and practices that causes unacceptable damage to the environment. They must also ensure that the products supplied by them do not cause unacceptable environmental damage in the course of their use and disposal by users of the product.

Responsibility towards customer:

  • To give customer value for their money. This includes not tempting or tricking customers into buying product they don't need, or buying or using these products in excess of requirements.
  • To provide complete and correct information to the customer. This includes not misleading them by dishonest or misleading advertisements.
  • To keep the promises made to them.

Responsibility towards employees:

  • To be fair to all employees without any favouritism.
  • To help employees in developing their potential to the maximum
  • To provide fair remuneration and other benefits.
  • To provide good working conditions.

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