writing homework on Corporate Social Responsibility Conflict With the Interests of Shareholders.
Need help with my writing homework on Corporate Social Responsibility Conflict With the Interests of Shareholders. Write a 1750 word paper answering; The shareholders invest within the reigns of a business so that they could reap rich dividends from it as well as bolster the manner under which the organization tries to achieve its short term objectives and long term goals. This is indeed a symbiotic relationship because the shareholders feel that their linkage with the organization would benefit both of them and hence the development would instil a sense of confidence amongst the other shareholders to invest as well. (Dobson, 1991) The shareholders feel that it is also in their interest to go with the tide and invest heavily within the domains of the business so that their investments could extract the best possible returns and thus the exponential increases are there for the taking. However, these investments are more reliant on the market conditions and might just fluctuate in the event of a natural calamity or catastrophe to hit the region, country or even the industry. The shareholders need to be ready for the losses that might be incurred on their part and consequently, their constant vigilance in this regard pay huge dividends. The shareholders are always on the lookout for better returns and thus they do not stick within the reigns of a singular organization. They will either shift back and forth or keep switching until they get the best returns on their investments.
Considering a scenario where an organization undergoes CSR in order to boost its falling market reputation, the shareholders might just raise concerns since they do not like to be a part of the organization’s social awareness tenets and hence they believe that their money should not be wasted. However, this is the negative philosophy put forward by the conventional mindset of the shareholders. The modern-day philosophy has changed for the better.