Corporate Social Responsibility and Business Ethics

This assignment explores the concept of corporate social responsibility (CSR) and its impact on business ethics. It examines case studies involving Starbucks and the fashion industry, highlighting how companies balance profit generation with societal well-being. The analysis considers stakeholders such as shareholders, customers, and employees, emphasizing the ethical implications of CSR practices. Additionally, the assignment delves into the challenges faced by organizations in implementing CSR initiatives effectively.

Running Head: Comparative Business Ethics & Social Responsibility
Comparative Business Ethics & Social Responsibility

Comparative Business Ethics & Social Responsibility 1
Cotton on foundation Wrap Up
The below presented description is based on my personal experience as I took part in the charity
event which was initiated to raise funds for the people suffering from malnutrition. This event
was organized by Cotton on the foundation as a sports event where some of the celebrities were
invited to participate and motivate people. With this event, funds were raised by selling the
tickets of the sports event which was later used to serve the people suffering from malnutrition.
The Cotton on foundation is an organization which works with a motive to provide social
welfare services in the environment. Through this thanks giving video, I came to know that the
organization is mainly focusing on assisting the poor backward nation like Southern Uganda.
The organization is further aiming to serve livelihood by providing educational facilities and
standard of living to the people (Hayhurst 2014). The company aims to initiate all these activities
till 2020. In accordance with these objectives, the organization initiated the Global Citizen
festival which was held in New York. The festival was partnered with The Fifth Army which is
also a socially active musical band. So, according to me the partnership adequately supported the
Cotton on Foundation in the process of fulfillment of the objective (Cotton on foundation 2013).
Furthermore, I realized that along with me, 21,893 runners also participated in this event, with
the help of all these people we managed to allocate $9, 63,083 dollars (De Wet 2016). The funds
raised were then used by the organization to support various backward region and people
suffering from mental illness. Many people were also sent to Southern Uganda to analyze and
look after the state of people in that area. Apart from that talking about my personal perspective,
I feel that these associations help people to understand the importance of individual social
responsibility. My participation in this type of charity event gives a sense of understanding that
giving is more important than taking.
Cotton on foundation: We empower we end poverty
Empowering people and giving a helping hand to end poverty is the major center of attraction of
this reflection. Through this presented analysis, I observed that the charity event was organized
by Cotton on foundation to empower people together and end the poverty. The video clip
explained that a few years ago in 2017; a community of Southern Uganda faced severe issues
due to which the whole community started lacking behind. The people living in that area were

Comparative Business Ethics & Social Responsibility 2
attracted with the problem of HIV Aids and many other chronic diseases. Resulting to which the
communities of Uganda faced many problems in their daily lives, as children used to travel miles
just to fetch unsafe water for drinking and only 26% of students passed the whole community
according to school records (Cotton on foundation 2013). These issues were severely hampering
and damaging the health of people and the environment and then growth of ‘Mannya’ became
mission impossible. So, in order to secure the health of people and make their livelihood
sustainable, the Cotton on foundation initiated to supply mineral water bottles, bracelets and bags
to the people of that area. This improved the state of people in Mannya and people living in other
communities near Mannya. The organization focused on health, education, infrastructure, and
sustainability. The foundation build schools, dams, employed teachers and planted coffee plant
to employ many people. Thus, in this way the foundation aimed to end poverty and empower
people till 2020 (Block, and Fryzek 2017).
The above mentioned analysis explains the activities initiated by Cotton on foundation for the
betterment of the people of Mannya. In my perspective, the community adequately identified the
issues and collaborated with people to solve them. I felt that the mission became successful
because people realized the need for brotherhood due to which the customers of the organization
provided a helping hand in achieving the objective of the Mannya mission.
Issues of globalization: How fair is fashion?
Globalization is one of the most important aspects of the modern community and fashionable
clothes are a way to understand how far globalization has gone in the world. According to me
below mentioned analysis talks about the negative impact of globalization in the fashion
industry. I have noticed that, from previous decades to now the textile industry has changed its
face many times (Crane, and Matten 2016). The manufacturing pattern has been changed now,
due to which the designing process of clothes is done at the places which are richest and
manufacturing process is done in countries which have poor economy. The price of high street
fashion has been subsequently reduced due to the use of computerization and internet (Pumpkin
Interactive 2011). Dhaka, the capital of Bangladesh is on the third position worldwide in
manufacturing clothes. Due to the presence of low cost human resource, the factories get to earn
more profits. Also, the research says the workers are paid one fiftieth of the total American or
European counterparts (Haque, and Azmat 2015).

Comparative Business Ethics & Social Responsibility 3
As per my views, this type of globalization activity is hampering the growth of poor people. The
clothes which are being supplied at high street fashion stores are manufactured at placed which
have low cost of human resource available. I analyzed that globalization in the textile industry
means that someone somewhere is paying for the actual price of the cut-price clothing process.
So, according to me, there should be flat rates for all products in the market at it will increase the
economy and provide optimum value to the workers who are manufacturing products and low
prices. So, I think that all people who are a part of the textile industry shall understand their
responsibility and work accordingly.
The Bribery Aisle: How Wal-Mart Used Payoffs to Bribe Its Way through Expansion in
Mexico
The video about the bribery case lays emphasis on unethical means which were adopted by the
company Wal-Mart with an aim to expand their business in the Mexico City. Wal-Mart is a
multinational organization which is a part of retail industry. This video clip tells about the
unethical activities which were initiated by the company. People of Mexico protested to stop the
building of this supermarket in that area because the company was building their store on the
land near the cultural landmark of the country. Hunger strikes, protests etc. activities were
initiated by the people of the country. Even Mexican people pleaded with the authorities of Wal-
Mart to not place their store near ancient pyramid (Zhu 2017).
Further, the act which came into existence was that the management of Wal-Mart bribed to the
government of Mexico so as to support them to build their stores. The company was hampering
the cultural heritage of the country and the governmental bodies were assisting them because
they were bribed with a sum of $ 200, 000. Further, it shall also be noted that the mayor was also
bribed by the company and then the justice department of US came into the scene and analyzed
that whether Wal-Mart has breached the rules and regulations or not; if yes then it will be
regarded as a crime according to America Corporation.
According to my views on the given case, this controversial act clearly showed the mistake of
the company along with the fault of the governing bodies to permit the company for building
their store. The authorities were attracted towards the bribe which disregarded the religious
feeling of the people of Mexico (Democracy Now 2012). According to me, any company which

Comparative Business Ethics & Social Responsibility 4
is placing themselves at a new place shall look that they do not negatively affect the people
living in that country; also it shall assist the people in their daily basis life.
Starbucks CEO Howard Schultz on social responsibility
The presented analysis talked about the establishment of value of shareholders along with
stakeholders in the market. According to my understanding shareholder segment only includes
the people who have purchased the shares of the company. But I think a company is liable to all
people who are connected with the working of the company like, their workforce, communities
etc. Further, in the video the CEO of Starbucks talks about the motive of the organization is to
create a balance between making a profit and providing social values in their activities. Business
model adopted by Starbucks is different which keeps all the stakeholders interested in the
activities of the company (Leduc 2017). Through this video I came to know that apart from
generation of profits, keeping the shareholder's priorities on the top is also an important activity
for the company.
I realize the fact that, keeping the customers and the employees healthy was emerging as one of
the challenges for the company. So, I shall conclude this by saying that social responsibility is
become a merging trend in the growth of different organizations. And it is also challenging for
companies to create value for people and help them and maintain their corporate social
responsibility. As 42 out of 50 companies in America are dealing with the problem of the budget
deficit (Youtube 2013). So, they shall focus on their people rather than profits so ad to improve
growth in the external environment. Lastly, I realized that people or stakeholders of an
organization are more important than profit because satisfied people will bring satisfied profits
for the company.

Comparative Business Ethics & Social Responsibility 5
References
Block, W.E. and Fryzek, N., 2017. Poverty Inc.: An Economic and Libertarian Analysis.
Cotton on foundation, 2013, Cotton on foundation We empower, we end poverty, Assessed on
25th January 2018, https://www.youtube.com/watch?v=aY_9Y527LVM.
Cotton on foundation, 2013, Cotton on foundation wrap up, Assessed on 25th January 2018,
https://www.youtube.com/watch?v=L6KKXXuXuS8.
Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
De Wet, L., 2016. Silencing the Subaltern: A Postcolonial Critique of NGO-run Orphanages in
Jinja, Uganda.
Democracy Now, 2012, The Bribery Aisle: How Wal-Mart Used Payoffs to Bribe Its Way
Through Expansion in Mexico, Assessed on 25th January 2018, https://www.youtube.com/watch?
v=hmr6uHjoV8o.
Haque, M.Z. and Azmat, F., 2015. Corporate social responsibility, economic globalization and
developing countries: A case study of the ready made garments industry in
Bangladesh. Sustainability accounting, management and policy journal, 6(2), pp.166-189.
Hayhurst, L.M., 2014. The ‘girl effect’and martial arts: Social entrepreneurship and sport, gender
and development in Uganda. Gender, place & culture, 21(3), pp.297-315.
Leduc, C., 2017. “Onward How Starbucks Fought for Its Life without Losing Its Soul” Book
Review.
Pumpkin Interactive, 2011, Issues in globalization: How fair is fashion? Assessed on 25th
January 2018, https://www.youtube.com/watch?v=3YAUvDmMGMI
Youtube, 2013, Starbucks CEO Howard Schultz on social responsibility, Assessed on 20th
January 2018, https://www.youtube.com/watch?v=uHIoK4LviCc.

Comparative Business Ethics & Social Responsibility 6
Zhu, B., 2017. MNCs, rents, and corruption: Evidence from china. American Journal of Political
Science, 61(1), pp.84-99.