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QUESTION-TYPE BASED TESTS
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TEST 9 – Corporate Social Responsibility
Reading passage has seven paragraphs,
A–G
Choose the correct heading for each paragraph from the list of heading below.
List of Headings
i
How CSR may help
one business to expand
ii
CSR in many aspects of a company’s business
iii
A CSR initiative without a financial gain
iv
Lack of action by the state of social issues
v
Drives or pressures motivate companies to address CSR
vi
The past illustrates business are responsible for future outcomes
vii
Companies applying CSR should be selective
viii
Reasons that business and society benefit each other
A.
An excellent definition was developed in the 1980s by Norwegian Prime Minister Gro Harlen Brundtland
and used by the World Business Council for Sustainable Development: “Meeting the
needs of the present
without compromising the ability of future generations to meet their own needs.” Nowadays, governments
and companies need to account for the social consequences of their actions. As a result, corporate social
responsibility (CSR) has become a priority for business leaders around the world. When a well-run
business applies its vast resources and expertise to social problems that it understands and in which it has a
stake, it can have a greater impact than any other organization. The notion of license to operate derives from
the fact that every company needs tacit or explicit permission from governments, communities, and
numerous other stakeholders to justify CSR initiatives to improve a company’s image, strengthen its brand,
enliven morale and even raise the value of its stock.
B.
To advance CSR. we must root it in a broad understanding of the interrelationship
between a corporation
and society. Successful corporations need a healthy society. Education, health care, and equal opportunity
are essential lo a productive workforce. Safe products and working conditions not only attract customers but
lower the internal costs of accidents. Efficient utilization of land, water, energy, and other natural resources
makes business more productive. Good government, the rule of law, and property rights are essential for
efficiency and innovation. Strong regulatory standards protect both consumers
and competitive companies
from exploitation. Ultimately, a healthy society creates expanding demand for business, as more human
needs are met and aspirations grow. Any business that pursues its ends at the expense of the society in which
it operates will find its success to be illusory and ultimately temporary. At the same time, a healthy society
needs successful companies. No social program can rival the business sector when it comes lo creating the
jobs, wealth, and innovation that improve standards of living and social conditions over time.
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