Chapter 4: Business and the Community 1 Generation of Wealth Generation of Jobs Impact of Businesses on the Community
Chapter 4: Business and the Community 2 Generation of Jobs Consumer Demand: businesses try to meet demand indicated by consumers i.e. ipad -> ipad 2 Business Cycles (p.72) Four phases: trough, peak, recession, depression Recovery: demand increases Technological Improvements Increase efficiency of their operations Android Competition Must be competitive to survive Drives pricing Impact of Businesses on the Community
Chapter 4: Business and the Community 3 The Business Cycle
Chapter 4: Business and the Community 4 Generation of Income The money that a business has received Selling goods Earning interest Investing extra funds Standard of Living The way a person lives as measured by the kinds and quality of goods and services that person can afford Quality of Life Type of work has a direct impact on the life of the worker Changing Community When business move, the wealth, income and jobs in a community are affected
Chapter 4: Business and the Community 5 Corporate Social Responsibility Ethics are rules that help us tell the difference between right and wrong. They encourage us to do the right thing. What is Ethical Behaviour? Ethical behaviour is conduct that conforms to ethics—individual beliefs and social standards about what is right and good. Values tell us what is important. They help us make decisions about right and wrong. Morals are rules we use to decide what is good or bad.
Chapter 4: Business and the Community 6 What Role Should Ethics Play in Business? Business ethics are based on society’s ethics and those of the people who work for and buy from them. A Code of Ethics Some companies write a code of ethics, - a document that explains specifically how employees should respond in certain situations. Canadian laws address acceptable business behaviours. However, businesses can still behave unethically without breaking these laws.
Chapter 4: Business and the Community 7 A business exhibits corporate social responsibility (CRS) through their values, ethics, and the contributions it makes to communities. CRS is driven by a desire to protect customers and to treat employees and shareholders fairly. CSR Principles Businesses that practice CSR principles support their employees and consumers by providing a safe and healthy work environment adopting fair labour polices protecting the environment being truthful in advertising avoiding price discrimination donating to charity
Chapter 4: Business and the Community 8 Think about this…. How would the opening of a large corporation such as Wal Mart affect a small community?