1. Chapter 4
Social Responsibility of
Business and Government
4-1 Social Responsibility
4-2 Government Protection Activities
4-3 Government Regulation and
Assistance
Introduction to Business
© Thomson South-Western

2. MEDIA
 TOMS – WORLD SIGHT DAY
 TOMS – ONE FOR ONE CAMPAIGN
 TOMS – THANK YOU
 MCDONALDS – Social Responsibility
Chapter 4 Introduction to Business
Slide 2 © Thomson South-Western

3. LESSON 4-1
Social Responsibility
Goals
 Describe social responsibility issues.
 Identify benefits and costs of social
responsibility.
 Explain the purpose of a code of ethics.
Chapter 4 Introduction to Business
Slide 3 © Thomson South-Western

4. SOCIAL RESPONSIBILITY
ISSUES
 Environmental protection
 Workplace diversity
 Job safety
 Employee wellness
Chapter 4 Introduction to Business
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5. Environment Protection
 Conversation: saving scarce natural
resources - i.e. reforestation
 Non-renewable resources: natural resource
that can’t be replaced (ex. Gas-oil-minerals-
copper-iron ore
 Pollution: By products human actions – Gov’t
regulated by the EPA
 EPA is Environmental Protection Agency
Chapter 4 Introduction to Business
Slide 5 © Thomson South-Western

6. Workplace Diversity
 Workforce of the business should reflect
groups in the community
 Removal employment barriers women
 Employers not allowed to exclude women
applicants from physically demanding job
 ADA – American’s with Disability Act –
accommodates workers with physical
challenges.
Chapter 4 Introduction to Business
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7. Workplace Diversity cont’d
 Age Discrimination Act: prohibits bias
for employment decisions – hiring,
promotions, or termination – 40 and
older.
Chapter 4 Introduction to Business
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8. Job Safety
 Free from risks that could cause accidents
 Workers know how to expect and manage
the unexpected
 Employee training how to work
safely/emergency
 OSHA Occupational Safety and Health
Administration
Chapter 4 Introduction to Business
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9. Employee Wellness
 Healthy workforce is a productive
workforce
 Good physical health are valuable
assets
 Ex: Stop smoking seminars,
counseling, weight loss sessions
 “Conditions of work” contract
Chapter 4 Introduction to Business
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10. >> C H E C K P O I N T
What are four areas of social
responsibility that may require the
attention of business?
Chapter 4 Introduction to Business
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11. SOCIAL RESPONSIBILITY
EVALUATION
 Benefits
 Expanded justice for groups of a society
 Enhanced company image
 Reduced need for government actions
 Improved quality of life in a community and
around the world
 Increased awareness of social issues
among workers, consumers, and others
Chapter 4 Introduction to Business
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12. SOCIAL RESPONSIBILITY
EVALUATION (continued)
 Costs
 New nonpolluting or safer equipment
 Building repairs to remove risks
 Wellness and rehabilitation programs
 Social projects sponsored by a company
Chapter 4 Introduction to Business
Slide 12 © Thomson South-Western

13. >> C H E C K P O I N T
What are the main benefits of social
responsibility?
Chapter 4 Introduction to Business
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14. BUSINESS ETHICS
 Ethics are principles of morality or rules of conduct.
 **Rules about how businesses and employees ought
to behave
 Code of Ethics: help business identify proper
employee-behavior. It is a set of rules – guides
actions of employees and members of organization.
 Conflict of interest: action by a company or
individual results in an unfair-benefit (ex. Board
member)
 There are also professional Codes of Conduct
Chapter 4 Introduction to Business
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15. >> C H E C K P O I N T
What is the purpose of a code of ethics?
Chapter 4 Introduction to Business
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16. LESSON 4-2
Government Protection
Activities
Goals
 Identify the roles and levels of
government.
 Explain government protection
activities.
 Describe types of intellectual property.
Chapter 4 Introduction to Business
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17. GOVERNMENT IN SOCIETY
(continued)
 Roles of government
 Providing services for members of society
 Protecting citizens, consumers, businesses, and
workers
 Regulating utilities and promoting competition
 Providing information and support to businesses
 Buying goods and services
 Hiring public employees
 Raising revenue
Chapter 4 Introduction to Business
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18. GOVERNMENT IN SOCIETY
(continued)
 Levels of government
 Federal government
 State government
 Local government
Chapter 4 Introduction to Business
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19. FEDERAL GOVERNMENT
 Oversees the activities that involve two
or more states or other countries.
 Regulates foreign and interstate
commerce
Chapter 4 Introduction to Business
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20. STATE GOVERNMENTS
 Regulate business actions within their
own borders
 Assign some of their legislative power
to local governments
Chapter 4 Introduction to Business
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21. LOCAL GOVERNMENTS
 Include county boards and city or town
councils
 Provide services needed for an orderly
society, such as police and fire
protection
Chapter 4 Introduction to Business
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22. >> C H E C K P O I N T
What are the three levels of government?
Chapter 4 Introduction to Business
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23. GOVERNMENT
PROTECTION ACTIVITIES
 Worker protection
 Contract enforcement
Chapter 4 Introduction to Business
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24. >> C H E C K P O I N T
What are the main elements of a
contract?
Chapter 4 Introduction to Business
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25. PROTECTION OF
INTELLECTUAL PROPERTY
 Patents
 Copyrights
 Trademarks
Chapter 4 Introduction to Business
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26. >> C H E C K P O I N T
What are three types of intellectual
property?
Chapter 4 Introduction to Business
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27. LESSON 4-3
Government Regulation
and Assistance
Goals
 Explain actions by government to
regulate business.
 Discuss efforts of government to assist
businesses.
 Identify methods used by government
to raise money.
Chapter 4 Introduction to Business
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28. Key Terms
 public utility
 monopoly
 antitrust laws
 revenue
Chapter 4 Introduction to Business
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29. REGULATORY ACTIVITIES
 Regulation of utilities
 Prevent unfair business practices
Chapter 4 Introduction to Business
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30. >> C H E C K P O I N T
Why does government regulate utilities?
Chapter 4 Introduction to Business
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31. GOVERNMENT ASSISTS
BUSINESS
 Government buys goods and services
 Government employs workers
Chapter 4 Introduction to Business
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32. >> C H E C K P O I N T
How does government assist business?
Chapter 4 Introduction to Business
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33. GOVERNMENT RAISES
MONEY
 Taxes
 Borrowing
Chapter 4 Introduction to Business
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34. >> C H E C K P O I N T
What is the difference between tax
revenue and borrowing by government?
Chapter 4 Introduction to Business
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