CBSE Class 11 Business Studies Chapter 6: Social Responsibilities of Business and Business Ethics NCERT Solutions

Solution: Social responsibility refers to the ethical and moral obligations a business has towards society, which extend beyond the minimum requirements set by law. Therefore, it is broader than legal responsibility. Legal responsibility is about adhering to laws, while social responsibility involves contributing positively to societal welfare and addressing social issues.

Answer: (b) Broader than legal responsibility

Solution: Businesses operate within society and are influenced by its complexities. By understanding and actively addressing the diverse and complicated problems of society, businesses can build goodwill, innovate solutions, and gain a competitive advantage, thereby increasing their chances of success. Ignoring these problems can lead to negative consequences.

Answer: (b) Great chance of success

Solution: Business people possess valuable skills such as problem-solving, resource management, and innovation. While they may not be equipped to solve every single social problem, their expertise allows them to contribute significantly to solving certain social issues, especially those that have an economic or organizational dimension.

Answer: (b) Some social problems

Solution: Behaving as a good citizen implies acting in a way that benefits and respects the society in which the business operates. This includes contributing to the welfare of the local community, respecting its norms, and participating in community development initiatives. Therefore, this is a responsibility towards the community.

Answer: (d) Community

Solution: Environmental protection is a complex issue that requires a multi-faceted approach. While businesses, governments, and scientists all play crucial roles, the most effective environmental protection is achieved when all members of society, including individuals, businesses, and government bodies, work together towards this common goal.

Answer: (d) All the people

Solution: Carbon monoxide is a gas that is released into the atmosphere, primarily from the combustion processes in vehicles. When such harmful gases are present in the air, they degrade its quality, leading to air pollution.

Answer: (d) Air Pollution

Solution: Pollution control is essential for multiple reasons. Businesses can achieve cost savings through efficient resource use and waste reduction. Controlling pollution reduces the risk of legal penalties and liabilities. Furthermore, it is crucial for minimizing health hazards for employees, customers, and the general public. Therefore, all the given options explain the need for pollution control.

Answer: (d) All of them

Solution: While business success, laws, and professional management are important, ethics represents the moral principles and values that guide behavior. Adhering to ethical standards ensures that business activities are conducted in a fair, just, and responsible manner, leading to the maximum positive impact on society.

Answer: (c) Ethics

Solution: Ethical conduct is fundamental to the functioning of any business enterprise. It is not limited to a specific level of management; rather, it is crucial for top management in setting the tone, middle-level managers in implementation, and non-managerial employees in day-to-day operations. Therefore, ethics is important for everyone in the organization.

Answer: (d) All of them

Solution: An effective ethics program requires a comprehensive approach. Simply publishing a code of conduct, involving employees, or establishing compliance mechanisms individually may not be sufficient. A truly effective program integrates all these elements and is driven by leadership commitment. Therefore, none of the options alone can guarantee an effective ethics program; a combination is needed.

Answer: (d) None of them

Solution: Social responsibility of business refers to the commitment of a business enterprise to act in ways that benefit society. It involves making decisions and taking actions that are desirable in terms of the objectives and values of the society in which the business operates. This includes obligations towards various stakeholders like employees, consumers, investors, government, and the community.

Differences from Legal Responsibility:

• Nature: Legal responsibility is compulsory and enforced by law, whereas social responsibility is voluntary and based on ethical considerations and societal expectations.
• Scope: Legal responsibility is generally narrower, focusing on compliance with specific statutes. Social responsibility is broader, encompassing ethical conduct, philanthropy, and contributing to societal well-being.
• Consequences of Non-compliance: Failure to meet legal responsibilities results in legal penalties, fines, or imprisonment. Failure to meet social responsibilities may lead to public criticism, loss of goodwill, or boycotts, but not legal action.
• Motivation: Legal responsibility is driven by the need to avoid punishment. Social responsibility is driven by a sense of duty, ethical values, and the desire to be a good corporate citizen.

Solution: The environment refers to the sum total of our surroundings, encompassing all living (biotic) and non-living (abiotic) components that influence our existence and quality of life. This includes air, water, land, plants, animals, and human beings.

Environmental pollution is the introduction of harmful substances or contaminants into the natural environment, causing adverse changes. This degradation can negatively impact ecosystems, human health, and the overall quality of life. Due to industrialization and increased resource consumption, pollution has become a significant concern.

The chapter identifies three main types of environmental pollution:

1. Air Pollution: This occurs when harmful gases, particulate matter, or other substances are released into the atmosphere, affecting air quality. For example, carbon monoxide emitted from vehicles contributes to air pollution.
2. Water Pollution: This happens when industrial effluents, sewage, and other harmful wastes are discharged into rivers, lakes, or oceans, degrading the quality of water and harming aquatic life.
3. Land Pollution: This is caused by the improper disposal of solid and hazardous wastes on land, leading to soil contamination, reduced fertility, and making the land unfit for agriculture or other uses.