Corporate Social Responsibility Reports Essay Example | Topics and Well Written Essays - 1500 words

Corporate Social Responsibility Reports - Essay Example The essay "Corporate Social Responsibility Reports" discusses the relationship the corporate social responsibility report has with all its stakeholders like employees, communities, customers, suppliers, governments, and environment and whether it provides the shareholders and all the stakeholders with useful information. The readers of a CSR report expect that the company should go beyond simple community affairs in their report. Companies which are new to this CSR reporting may confine the CSR reports to reporting only the charitable giving and the volunteer programs. Corporations are now increasingly expected to issue the CSR report to their stakeholders. A CSR report which focuses only on the community is too narrow to be considered as a comprehensive reporting on their commitments to the community through the CSR report. Such Community affairs reports may be useful for the local communities which want to understand how the firms support their causes. But they fail to provide the others with substantive information which is necessary to assess the strengths and the weakness of a corporation to all its stakeholders. There are many accounting theories in this respect. The Stakeholder theory implies that a business has to interact with a number of parties in the environment. These groups or actors are known as the stakeholders. They can be investors, customers, political groups, employees, communities, trade associations, governments, suppliers etc. The communication between them is bidirectional in nature. (Deegan and Rankin, 1996, pp. 50-69). It means that the business influences the stakeholders while the stakeholders also influence the business at the same time. Figure 1: Directions of influence between the business and the stakeholders Stake in a business is defined as the potential benefit which a company provides to the stakeholders. Business has to consider many people, groups or anyone who have interest in the business. This theory can be viewed as ins trumental, descriptive or normative. Presence of any relationship between the stakeholders and the profitability denotes the instrumental nature of the theory (Hooghiemstra, 2000, pp. 55-68). Explanation of the past, present and future of the business and the stakeholders denotes the descriptive nature of the theory. Presenting the function of the business through codes of conduct denotes the normative perspective. According to several studies, it is unethical to focus only on the intent of the shareowners and not on the interest of the customers and employers. The central idea of this theory is that it is not only the shareowners but also the interest of cast set of stakeholders which needs to be satisfied by the managers. According to this theory, there is more than just profit maximizing ability of the firm (Mahoney, Thorne, Cecil and LaGore, 2013, pp. 350-359). The firm needs

Ma Case Study Example | Topics and Well Written Essays - 2000 words - 1

Ma - Case Study Example Evidence of the controlling function lies in the decision to keep production in France, where they were more satisfied with quality control. By advising their employees on the product’s requirements, they employees are measured by how well they stick to the requirements. For a while, Luis Vuitton has focused on its popularity in Japan, which accounts for approximately 55% of its global sales annually (Bloomberg Businessweek Magazine 1). Luis Vuitton also focuses on the women’s demographic with their handbags and female shoes lines. Luis Vuitton also targets middle-aged men with their line of Vuitton eyeglass cases, wallets and briefcases. Additionally, Luis Vuitton has been attempting to woo younger clients while retaining their older client base. The company has cultivated a brand loyalty within the Japanese market through a staff that comprises of Japanese locals, and thus, increasing access to this lucrative market. As proof of this, almost all grown-up Japanese women possess at least one Luis Vuitton item. Luis Vuitton has a monolithic workforce that has little cultural integration. As gleaned from the article, Luis Vuitton decided to keep its major factories in France and employ locals, who cost more because the quality control in France was higher (Bloomberg Businessweek Magazine 1). Additionally, their Japanese operations were also staffed with locals in order to tap into what their Japanese customers need. Luis Vuitton’s management inspires a shared vision among its employees. The company management encourages its employees to suggest improvements to its manufacturing designs and briefs them on the product details, for example, the product’s retail price, as well as how well the product is selling (Bloomberg Businessweek Magazine 1). The management also enables others to work, in this case, its employees as evidenced by the workers who