ADMS 3660 Chapter 2: chapter 2.docx

• School: York University
• Department: Administrative Studies
• Course: ADMS 3660
• Professor: Avraham Kleiman

Document Summary

Corporate social responsibility is seriously the impact of the company"s actions on society. The idea of social responsibility requires the individual to consider his [or her] acts in terms of a whole social system, and holds him [or her] responsible for the effects of his. The growth of these ideas has brought about a society more satisfied with business. Concept of business responsibility that prevailed in north america during most of our history was fashioned after the traditional, or classical, economic model. Adam smith"s concept of the invisible hand was its major point of departure. The classical view held that a society could best determine its needs and wants through the marketplace. Thus, the invisible hand of the market transforms self-interest into societal interest. Economic model: the marketplace protected societal interest. One of the most visible examples was the company town. The motivation was to keep government at arm"s length.