Cororate Social Responsibility
Aaron Feuerstein's view of corporate social responsibility is that the CEO must take care of the shareholders but that they also have a responsibility to the community and workers. Take a position on whether or not this view is possible in business today? I do agree that the CEO of any company should take responsibility of not only the shareholders, but the community and workers of the company as well. I do feel this responsibility should be balanced among other company executives (Boatright, 2007). The CEO should also work to ensure company profit does not take advantage of the customer. This position, in my opinion is possible in today’s business setting. One example that comes to mind is how many companies helped with the devastation after major hurricanes such as Katrina. Companies had the opportunity to take advantage of customers, however many did just the opposite and helped out with reduced costs for materials needed.
Discuss the vision for Malden Mills held by Aaron Feuerstein and Jack Welch, CEO of GE capital who took over the company after it filed bankruptcy. In your judgment which vision is best for the company and why? Mr. Feuerstein was committed to ensuring jobs remained in the neighborhood and keeping employees in their jobs instead of focusing on the profit and welfare of the company. He was determined to rebuild Malden Mills and keep it in Lawrence, however this forced him into bankruptcy after promising to pay wages and benefits for the 3,000 plus employees which costs over $300 million (Boatright, 2007). There were many who questioned his business decisions and to be honest, I applaud Mr. Feuerstein for trying to keep jobs in America and working to keep the business his grandfather built afloat. There are far too many businesses in today’s society that outsource their labor and jobs which adds to