EST1 Task 1
Typically businesses start up with a primary goal of earning revenue – to have the company profits exceed the cost of doing business. Small, local businesses are particularly susceptible to losing customers to large, corporate companies who often force these smaller companies out of business. Does this goal to make money and/or the susceptibility of being put out of business by a larger company excuse a small, local grocery store from filling its social responsibility? No, quite the contrary. It is becoming increasingly apparent that many consumers are basing their decisions not only on the items being provided by a company but the amount of “good” or perceived good a company is doing in their community.
Under the theory that social responsibility helps determine if a company is successful, let’s examine Company Q’s attitude toward social responsibility. Company Q recently closed down a couple stores citing that these two stores have been consistently losing money. It must be noted; however, that both stores were also located in higher-crime-rate areas of the city, which may cause the community to speculate about the real reason the stores were closed. Could it have been the fear of the neighborhood itself that caused Company Q to decide to close those two stores? The closing of these two stores could suggest that Company Q is more interested in profits and revenue rather than providing a much needed service to the community. In addition, Company Q’s customers have been requesting health-conscience and organic products for several years and they have just recently started offering these products. This change of heart may appear to be a positive step for Company Q if it wasn’t for the fact that not only did it take years of requests from their customers but all of the health-conscience and organic items being offered are high margin items, again making it appear that Company Q is more interested in profits and revenues than doing right by their customers and
Under the theory that social responsibility helps determine if a company is successful, let’s examine Company Q’s attitude toward social responsibility. Company Q recently closed down a couple stores citing that these two stores have been consistently losing money. It must be noted; however, that both stores were also located in higher-crime-rate areas of the city, which may cause the community to speculate about the real reason the stores were closed. Could it have been the fear of the neighborhood itself that caused Company Q to decide to close those two stores? The closing of these two stores could suggest that Company Q is more interested in profits and revenue rather than providing a much needed service to the community. In addition, Company Q’s customers have been requesting health-conscience and organic products for several years and they have just recently started offering these products. This change of heart may appear to be a positive step for Company Q if it wasn’t for the fact that not only did it take years of requests from their customers but all of the health-conscience and organic items being offered are high margin items, again making it appear that Company Q is more interested in profits and revenues than doing right by their customers and