Question

A friend of yours who writes code for mobile software has asked if acting socially responsible would increase her company's economic performance. What would be the best response?

1) Yes, Look at examples of Starbuck's Coffee and Ben & Jerry's
2) No, There is strong evidence of a negative relationship between social responsibility and performance
3) No, Stakeholders do not support social responsibility if it lowers performance
4) Yes, Economic performance improves as soon as a socially responsible strategy is implemented
5) Yes, There is a small positive relationship between performance and social responsibility

Answer 1

Acting socially responsible may have long-term benefits for a company, but there is strong evidence of a negative relationship between social responsibility and economic performance.

Step-by-step explanation:

No, there is strong evidence of a negative relationship between social responsibility and economic performance. While acting socially responsible may have long-term benefits, such as increasing brand reputation and customer loyalty, it can also incur additional costs and resources in the short term.

The notion that economic performance improves as soon as a socially responsible strategy is implemented is not supported by research. However, there is a small positive relationship between performance and social responsibility in the sense that companies that prioritize social responsibility tend to have a slightly better financial performance compared to those that don't, but it is not a guarantee.