Which ethical approach promotes businesses prioritizing social, environmental, and economic well-being equally?

The correct answer is - Corporate social responsibility

Key Points

• Corporate social responsibility (CSR)
  • CSR is a self-regulating business model that helps a company be socially accountable to itself, its stakeholders, and the public.
  • Through CSR, companies can be conscious of the kind of impact they are having on all aspects of society, including economic, social, and environmental.
  • Adopting CSR means that, in the ordinary course of business, a company is operating in ways that enhance society and the environment, instead of contributing negatively to them.

Additional Information

• Market-driven strategy
  • A market-driven strategy focuses on understanding and meeting the needs and wants of customers through the development of products and services.
  • This approach emphasizes competitive advantage and profitability, rather than social or environmental concerns.
• Corporate governance
  • Corporate governance refers to the system of rules, practices, and processes by which a company is directed and controlled.
  • It primarily focuses on the interests of stakeholders, ensuring accountability, fairness, and transparency in a company's relationship with its stakeholders.
• Sustainable marketing
  • Sustainable marketing involves creating, communicating, and delivering value to customers in a way that both natural and human capital are preserved or enhanced.
  • It integrates social and environmental considerations into marketing strategies and operations.