You are being interviewed for a business consultant position, and your interviewer has asked you to discuss which social responsibility approach you believe the following scenarios fall into obstructionist, defensive, accommodative, or proactive. Please provide a justification in your discussion by describing your rationale for your selections on each scenario.
a) A company suffers a major chemical leak at a pesticide factory abroad, and hundreds of people die overnight from poison gas inhalation. The company decides not to release information on the chemicals in the pesticide for fear that they would lose exclusive patent rights on the pesticide to competitors. Doctors do not know what they are facing when treating people at the scene and are franticly begging the company for information to save lives. Select and explain the company’s action of refusing to release information on the pesticide.
b) A vehicle manufacture will not admit guilt or take responsibility on a defective component of a popular and extremely profitable car model until after a government mandate. The profits are simply too high to admit guilt and risk losing sales. Select the social responsibility approach and explain the company’s action of refusing to admit responsibility and not acting to correct a defect because of sales.
c) An environmental disaster occurs with an oil tanker leaking thousands of gallons of oil onto a coastline. The company did not immediately offer monetary funds to clean up the spill and takes the matter of responsibility to court for several years. Meanwhile, the local community, state, and federal sources are spending billions of dollars cleaning up the mess. Select and explain the company's action of taking a passive approach to the spill.
d) A crazed gunman drives his pickup truck into the side of a popular restaurant during the lunch hour rush. The man gets out of his truck and begins to fire on restaurant patrons. Over 20 people were killed by the gunman, and another 20 people were wounded in the 15-minute shooting rampage. The CEO of the restaurant chain rushes to the scene of the crime and immediately offers financial support to victims and families. The CEO also reassures employees and the community that the restaurant will cooperate with authorities and rebuild the devastation caused during this tragedy. Select and explain the company's action of supporting the victims.
• Describe the basic environments (legal, social, economic) in which a business operates.
• Please make sure you include an introduction, a conclusion
We'll be happy to comment on YOUR IDEAS for each of these scenarios.
DO YOUR OWN HOMEWORK
Introduction:
In discussing the social responsibility approach for each scenario, it is important to understand the four main approaches: obstructionist, defensive, accommodative, and proactive. Each approach varies in terms of the company's response to social responsibility issues. Additionally, the basic environments in which a business operates - legal, social, and economic - play a crucial role in shaping a company's actions and decision-making process.
a) Scenario: A company suffers a major chemical leak at a pesticide factory abroad, and the company decides not to release information on the chemicals in the pesticide for fear of losing exclusive patent rights on the pesticide to competitors.
The company's action of refusing to release information on the pesticide falls into the obstructionist approach to social responsibility. In this approach, the company deliberately blocks the flow of information or resources to avoid taking responsibility for their actions. The rationale behind this decision is to protect their exclusive patent rights by keeping the chemical composition of the pesticide a secret. By withholding this information, the company prioritizes its own interests over the well-being and safety of the affected individuals and the wider community. The company's decision not only hampers immediate medical response but also prevents valuable lessons from being learned to prevent similar incidents in the future.
b) Scenario: A vehicle manufacturer will not admit guilt or take responsibility for a defective component of a popular and extremely profitable car model until after a government mandate due to high profits and potential sales loss.
The company's action of refusing to admit guilt and not acting to correct a defect because of sales falls into the defensive approach to social responsibility. In this approach, the company primarily defends itself against accusations and legal liabilities to protect its profits and market position. By delaying admission of guilt and not taking immediate action to correct the defect, the company prioritizes its financial interests over the safety and well-being of its customers. The decision showcases a lack of transparency and willingness to address product defects, which can pose risks to customers' lives and safety.
c) Scenario: An environmental disaster occurs with an oil tanker leaking thousands of gallons of oil onto a coastline. The company does not immediately offer monetary funds to clean up the spill and takes the matter of responsibility to court for several years.
The company's action of taking a passive approach to the spill falls into the obstructive approach to social responsibility. In this approach, the company actively avoids taking responsibility and, in some cases, delays or hampers efforts to resolve the issue. By not immediately offering monetary funds for clean-up and taking the matter to court for an extended period, the company prioritizes its legal position and financial interests over addressing the environmental damage caused by the spill. This passive approach causes additional strain on local communities, states, and federal sources, as they bear the financial burden and responsibility for the cleanup.
d) Scenario: A crazed gunman drives into a popular restaurant, killing and injuring multiple individuals. The CEO of the restaurant chain rushes to the scene, offers financial support to victims and families, and reassures the community of cooperation and rebuilding.
The company's action of supporting the victims falls into the proactive approach to social responsibility. In this approach, the company actively engages in efforts to address social needs and takes responsibility for its actions or the actions that occur within its sphere of influence. By immediately offering financial support to the victims and families, as well as expressing a commitment to cooperate with authorities and rebuild, the CEO showcases empathy, compassion, and a sincere commitment to the well-being of the affected individuals and the community. The company's proactive response reflects ethical behavior and a genuine concern for the social impact of the tragedy.
Conclusion:
In evaluating the social responsibility approach for each scenario, it is clear that the company's actions can reflect different levels of social conscience and ethical behavior. Understanding the basic environments in which a business operates, including the legal, social, and economic landscapes, helps to contextualize the decision-making process. Ultimately, businesses should strive to adopt a proactive approach to social responsibility, where they actively seek to address social needs and prioritize the well-being of communities and individuals affected by their actions.