This question contains two parts; be sure to answer both. First, compare the four levels of Carroll's global corporate social responsibility pyramid. Give an example of what is desired, expected, or required at each level by global stakeholders or global capitalism at each level. Next, imagine that you are the CEO of a corporation that runs a well-branded fast-food chain, Healthy Delight. Healthy Delight is in many countries, including nations in Europe, Asia, Africa, North America, and South America. Apply each of Carroll's four levels to your business.

Question

What will be an ideal response?

Answer 1

According to University of Georgia business scholar Archie B. Carroll, corporate social responsibility rests at the top of a pyramid of a corporation's obligations, right up there with economic, legal, and ethical obligations. While some people might hold that a company's first duty is to make a profit, Carroll suggests the responsibilities of an organization in the global economy should take the following priorities:

1. Be a good global corporate citizen, as defined by the host country's expectations. (Top of pyramid, philanthropic responsibility)—As the CEO of Healthy Delight, you will adjust your business practices based on the expectations of the country in which your stores/restaurants are located. Not only will you make sure you are complying with all laws, you will also show respect for the country's culture, perhaps by designing your stores in a way that blend with the local landscape and provide meals that match the tastes and preferences of the local population.

2. Be ethical in its practices, taking host-country and global standards into consideration. (Ethical responsibility)—As the CEO of Healthy Delight, you will closely monitor your ethical obligations. For example, in some countries, children are permitted to work at a much younger age than in the United States. In those countries, children's income can be very important in supporting the family. If the local culture supports the hiring of, say, 13- or 14-year-olds, then you are not violating any ethical obligations by hiring children of that age.

3. Obey the law of host countries as well as international law. (Legal responsibility)—As the CEO of Healthy Delight, you have to navigate the murky waters of common business practices versus the country's laws. For example, in many countries, bribes are common, but they are nonetheless against the law. Because you must obey the local laws (as well as international law), you will have to find ways to conduct business that do not break any laws.

4. Make a profit consistent with expectations for international business. (Pyramid base, economic responsibility)—As the CEO of Healthy Delight, of course you are concerned with making a profit. Your shareholders expect this; and you should examine your local markets to determine where your opportunities are and how you can adjust your restaurant's offerings and services to maximize your profitability.