Our today is marked by a scenario where companies, the most ingenious invention of human mind, are equivalent in wealth to countries. These companies, apart from calling the shots own and control much of earth’s resources. This new understanding also brings to light the ever pervasive nature of corporations today, and their aggregated impact on global economies and global environment. This also proves beyond reasonable doubt that social and environment stability and sustainability are two primary requisites for overcoming the looming environmental crisis, which threatens the very existence of humanity on earth. For environmental spoilage extends beyond ...view middle of the document...
Nike plans to be carbon neutral by 2011. The U.S. Climate Action Partnership-which includes Alcoa, BP and GE - even lobbies for government regulation of greenhouse gas emissions.
2.1 CORPORATE SOCIAL RESPONSIBILITY AND ENVIRONMENT ETHICS
“Organizations have to take “social responsibility.”There is no one else around in the society of organizations to take care of society itself. Yet they must do so responsibly, within the limits of their competence, and without endangering their performance capacity.”
Corporates are traditionally known as engines for driving the economic performance of an entity, its success being measured in terms of high returns on equity at individual plane and its contribution to the nation’s economic growth on a collective plane. Do they have any social or environmental responsibility? This paper begins with an attempt to define the concept of Corporate Social Responsibility (CSR) with relation to the newer concept of environmental ethics and extending to the boundaries of corporates involving themselves in the international carbon trading market. The paper would give reasons as to how exactly Carbon trading is an excellent answer to the prevailing disrespect shown by the Corporates against the Environment. The sustenance of these expanding environmental operations doesn’t hold a future promise without adherence to the OECD principles, UN millennium development goals and the concept of CSR, which repeatedly are laying stress on realisation of the losses caused to the environment and the responsibility of corporates towards these losses. The generally accepted principle is that if a company has caused some damage to the environment, be it in the form of air or water pollution, it owes a debt to the society to make up for it. The issue is as to whether the march towards becoming environment conscious and socially responsible is how to chalk out a peaceful way of harmonizing the corporate world with ecology and environment.
The World Business Council for sustainable development states, “Corporates’ social responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large.” Thus, Corporate Social Responsibility (CSR) or ‘sustainability’ is not just obeying the law. It is not philanthropy. It is much beyond that. It implies serious business where organisations have to be seen as partners in their communities and not just as profit centres, promoting the interest of their shareholders but as businesses having obligation towards various stakeholders.
CSR and corporate sustainability represent the way companies achieve enhanced ethical standards and a balance of economic, environmental and social...