Why deal with stakeholders at all? As we saw earlier in the Chapter, the traditional view is that companies should be run for their owners, the shareholders, and that is all.
However, we also saw that an alternative argument is that it might be good for business ("expedient") to keep staff happy, customers and suppliers happy, the local community happy etc. Instrumental Many believe that companies should demonstrate some CSR purely for profit reasons – that CSR looks good to the outside World and leads to higher sales.
There is no moral element to this decision – the decision is taken purely for profit.
Studies have shown that most consumers in the UK believe that companies are only fighting pollution, being nice to suppliers, and looking after employees because they think it makes them look like good companies and attract customers and profits.
However, we also saw that an alternative argument is that it might be good for business ("expedient") to keep staff happy, customers and suppliers happy, the local community happy etc. Instrumental Many believe that companies should demonstrate some CSR purely for profit reasons – that CSR looks good to the outside World and leads to higher sales.
There is no moral element to this decision – the decision is taken purely for profit.
Studies have shown that most consumers in the UK believe that companies are only fighting pollution, being nice to suppliers, and looking after employees because they think it makes them look like good companies and attract customers and profits.
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