Social responsibility of business

Ans. Every business operates within society. It uses the resources of society and depends on society for its functioning. This creates an obligation on the a part of the business to seem after the welfare of the society. Therefore, all the activities of the business should be that they’re going to protect and contribute to the interests of the society, Social responsibility of business refers to all or any such duties and obligations of business directed towards the welfare of the society

The concept of social responsibility caring profit isn’t only the only objective of the business. it’s to perform variety of social functions, because it may be a a part of society. A businessman shouldn’t do anything harmful to the society Thus the concept of social responsibility discourages businessmen from adopting unfair means like black marketing, simulating adulteration evasion , etc. 

To earn profits I encourage them to earn profit by proper management of the business, by providing better working conditions to employees, by providing better products to consumers and control pollution and conserve natural resources People engage in business to earn profits But Responsibility towards different interest groups I The business is related to owners, employees, suppliers, customers, government and society. they’re called as interested groups because every activity of the business will affect the interest directly or indirectly

1) Responsibility towards owners 1 Owners are the persons who own the business

They contribute to the capital and bears the business risks. The responsibilities of business towards them are A regular and fair return on capital invested by way of dividends D Safety of their capital and growth Proper utilization of capital TV) Running the business efficiently

2. Responsibility towards employees: the longer term of the business depends on the trouble and efficiency of the workers So it’s the responsibility of the lookout of their interest The responsibilities are

i)Regular payment of their wages and allowances

ii) Better working conditions and welfare amenities

iii) to enhance the skill and efficiency by providing proper training

iv) Job security and Social Security like insurance , pension, retirement benefits

etc.

3. Responsibility towards suppliers: Suppliers are those persons who supply raw materials and other items to the business. The responsibilities towards them are

Timely payment of dues.

ii) handling fair terms and conditions

ii) Availing an inexpensive credit period

4. Responsibility towards customers: so as to survive, the business responsibility is to supply the subsequent facilities of consumers 

1) Providing qualitative goods and services.

ii) Charging reasonable prices.

i) Giving delivery of products within the stipulated time.

iv) After-sale service.

v) Avoiding unfair means like under weighing the merchandise , adulteration, etc.

5.Responsibility towards AR Framed by the govt :The responsibilities towards government are Payment of fees, duties and Setting Following the pollution control norms mention by the principles and up units per guidelines of the govt 

1) to not enjoys unlawful activities Responsibility towards society: Business, being a neighborhood of the society has got to maintain hip with other members of the society. The responsibility of business towards society is honestly and frequently 

2)to assist weaker and backward sections of the society

3)To generate employment to guard the environment.

 4)To camere natural resources and wildlife

4. Classify and describe each sort of Economic activity.

Ans. All human activities are directed towards satisfying human wants. Depending upon the character of requirements , human activities could also be categorized as economic and non-economic Economic activities are undertaken to make utilities. Non-economic activities don’t have the economic requirements of citizenry . values and these primarily tend to satisfy social religious, cultural or sentimental

Classification of economics activities: Economic activities are broadly classified Into three. they’re 1 Business 2. Profession

1) Business: The business is an activity that’s primarily pursued with the thing of earning profit. A commercial activity involves production, exchange of products and services to earn profits or to earn a living The word business literally means a state of being busy every one is engaged in some quite occupation, a farmer works within the field, a worker works within the factory, a clerk does his add the office, an educator teaches within the class, a salesman is busy in selling the products and an entrepreneur is busy in ruining his factory the first aim of of these persons is to earn their livelihood while performing some work

2) Profession: Profession is an occupation involving the supply of private services of a specialized and expert nature. The services are supported the professional service of specialised nature. The service is predicated on professional education, knowledge, training, etc. The specialized service is provided for knowledgeable fee charged as an example , a doctor helps his patients through his expert knowledge of the science of drugs and charges a fee for the service.

       Minimum educational qualifications are prescribed for entry into a profession and each profession requires a high degree of formal education and specialized training during a particular field. for instance , a accountant must be a member of the Institute of Chartered Accountants of India ((CAD). an individual entering the law profession has got to acquire an LL.B degree so as to become a lawyer