Social Responsibility for Sustainable Development of Enterprise Structures

By Balabanov, Vladimir Semenovich; Balabanova, Anna Vladimirovna et al. | Asian Social Science, April 2015 | Go to article overview

Social Responsibility for Sustainable Development of Enterprise Structures


Balabanov, Vladimir Semenovich, Balabanova, Anna Vladimirovna, Dudin, Mihail Nikolaevich, Asian Social Science


Abstract

This article aims to study the relationship between social responsibility of business and sustainable development of enterprise structures in the current economic conditions. In the course of the research, the authors determined that: sustainable development of enterprise structures is determined by many influencing factors, localized both in the external and internal environment of an enterprise structure; sustainable development of enterprise structures cannot be achieved without the growth of business social responsibility. Social responsibility of business is integration of social and environmental problems, solved by enterprise structures in interaction with stakeholders; enterprise structures and stakeholders mutually influence each other, but this influence is not identical in strength. Sustainable development of enterprise structures depends to greater extent on influence of owners (owners of capital), competitors, public authorities; in the medium term, as the world's evolutionary problems accumulate, requirements for social responsibility of business will continue to grow. Requirements for energy efficiency management of various economic activities will play a significant role in this tendency.

Keywords: sustainable development, social responsibility, business, entrepreneurship, corporation, balanced growth

1. Introduction

Social responsibility of business for countries with transitive economy is a fairly new phenomenon (Dudin et al., 2013; Balabanova & Kiseleva, 2013). Abroad, the concept of business social responsibility was introduced into business and scientific activities in the 1970s. Theoretical grounds of the concept of business social responsibility have been developed within the framework of development of business ethics as one of the key areas of applied ethics (Carroll, 2008). Initially, two theoretical assumptions were the basis of the concept of business social responsibility. The first assumption was to understand activities of enterprise structures on the basis of corporate self-interest; the second concept refers to activities of entrepreneurship and corporations on the basis of corporate altruism. Understanding the corporate egoism was down to the point that business is responsible only for growing a level of income of its shareholders by increasing efficiency of its economic activity. On the contrary, understanding the corporate altruism was down to the point that corporations and businesses are required to make significant contribution to improving a quality of life of the society, ensuring environmental safety of its activities, corporations and businesses must ensure that they promote implementation of government social programs as well (D'Amato, 2009).

Changes taking place in the global business space, revision of its social obligations by many states with its consequent reduction make small and large businesses responsible for social support not only of their employees, but also of other categories of people to a greater extent. Besides, it is already considered axiomatically that small and large businesses should be responsible for an ecological situation in the region of its presence. The concept of business social responsibility is already sufficiently developed and includes (Lee, 2008):

1) The main aspects and key issues of regulation of labour relations in the economic and territorial boundaries of corporate and enterprise structures;

2) Special programmes aimed at ensuring environmental safety of activities of corporate and enterprise structures and reducing anthropogenic impact on the environment;

3) Special programmes aimed at promoting development of the society in the region, in which these corporate and enterprise structures operate.

On the background of globalization and integration of interests of the international business segment, it is important that not only economic but also social processes received necessary stimulus for progressive development. …

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