Some people believe that corporations have a responsibility to promote the well-being of the societies and environments in which they operate. Others believe that the only responsibility of corporations, provided they operate within the law, is to make as

In order to survive, corporations must make money. Successful corporations try and make as much money as possible. Yet this incentive to make money does not mean that a corporation can be a detriment to the society in which it operates. Corporations have a duty and a responsability to ensure the well being of the society in which they are a part. Contributing to the well being of a society is actually benefical to a corporation in many cases. One of these is making sure that workers are well taken care of. Absenteeism and neglect while on duty are a big problem for corporations, as is attracting the best workers, who hopefully will lower the risks caused by absenteeism and neglect. One way that corporations can attract these workers is by offering them generous benefits. If, for example, an employer includes with employment a good health care plan, they will be able to attract better workers than one that does not, and that will aid the corporation greatly. Health care plans provided by employers mean that these people have at their disposal health coverage, which means that they have the care they need if they get sick. This also might encourage preventive care, something that has been shown to reduce the cost and risk of developing other major ailments. Another area where corporations providing support for themselves and society is in the creation of human capital. Globalization and increased education means that employers need a better educated workforce more than ever. One way that employers can contribute to this is by sponsoring worker training programs, or paying for their employees to return to school. This creates a more educated workforce for employers, as well as may increase the loyalty of employees to an employer. An employee who received an education sponsored by an employer may be thankful for receiving that education, and may work harder for that employer. This creates a benefit for employers and employees. The main reason that corporations have a duty to contribute to the well being of society is that they are a part of the society. Even though they have an economic desire to make a profit, corporations also should think long term about actions they take which could hurt their company. A good example of this is BP, after the recent oil spill in the gulf. Their desire to make a profit meant that they did not keep up on all of their safety regulations and standards, and the result of the then faulty equipment caused a massive spill. This cost them huge amounts of money to clean up, as well as the fines they had to pay for causing this. The biggest loss for BP however is that there brand name will be associated in the US and abroad as the company that caused this giant oil spill. As the spill was happening, many people boycotted the company, resulting in lost potential revenue. They may realize that as they lose business to people upset by the spill, that making sure a spill didn’t happen in the first place was cheaper. Another reason corporations have to ensure the well-being of a society is that by makign a society better off, a company may have more consumers. This is especially true for corporations that sell goods for middle and upper class consumers. If a corporation tries to bring people up and increase the overall economic well being of society, they may find that more and more people have to ability to afford their goods. This could generate huge new profits for this corporation, since their pool of potential consumers has gone up considerably. Concentrating on the long term here means that corporations can increase their pool of potential consumers. By denying responsabilty to a society, a corporation is only looking at the possible short term profits, not the potential long term ones. While in the short term it may work for a corporation to ignore their societal responsability, it is advantageous in the long term for the entire corporation to make sure society is getting better. The potential for new markets, products, production processes and other beneficial factors that come from promoting well being is quite large. This is something that corportions should be ready and willing to take advantage of, and something that society should hold them accountable for.