Solution

WORKSHEET(SOCIAL RESPONSIBILITY)

Class 11 - Business Studies

1.
(c) pay taxes regularly and honestly
Explanation: The business organisations should adhere to the laws created by the government for development of the country.
Responsibilities towards the government are
To pay taxes regularly and honestly
To observe rules laid down by the government

2.
(b) little chance of success
Explanation: The ill society endangers the survival of the business. A better business environment maximises the profits,
growth, and development of business. Hence the business should try to solve social problems.
3.
(d) It includes both natural and man-made resources.
Explanation: Environment is defined as the totality of man's surroundings- both natural and man-made.
4.
(b) all of these
Explanation: Effects of noise pollution: loss of hearing, malfunctioning of the heart, mental disorder, violent behaviour, etc.
5.
(b) air pollution
Explanation: The main cause of air pollution is harmful gases emitted by automobiles, smokes, and chemicals released from
factories and manufacturing plants.
6.
(b) broader than legal responsibility
Explanation: Social responsibility is broader than the legal responsibility of business. It is a firm’s recognition of social
obligations even though not covered by the law, along with the obligations laid down by law.
7.
(c) All of these
Explanation: All are responsible:
The government should pass many Acts to check the problem of pollution.
Scientists should devise new methods and machines to check pollution.
Business People should apply new methods and techniques to prevent pollution.

8. (a) Only A
Explanation: Supply of good quality and quantity of goods and services is a responsibility of business towards consumers.
9.
(d) Corporate Social Responsibility
Explanation: Corporate Social Responsibility- It is a company's commitment towards managing the social, environmental and
economic effects of its operations in line with public expectations.
10.
(b) All of these
Explanation: Responsibilities towards employees are: to provide fair wages, to provide healthy working conditions, to provide
them with opportunities for promotion and development.
11.
(b) Complementary
Explanation: Complementary, because both are linked to each other.

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12.
(c) legal responsibility
Explanation: According legal responsibility every business has a responsibility to operate within the laws of the land.
13. (a) both firm's and society interest
Explanation: At present both social and business interests are considered complementary to each other and that is why the
need for social responsibility arises.
14.
(d) community
Explanation: Responsibility towards the community it should behave as a good citizen and should act according to the well-
accepted values of society.
15.
(c) All of these
Explanation: Reduced risk of liability, reduction of health hazards, cost savings can explain the need for pollution control.
16.
(d) Land Pollution
Explanation: Land pollution is caused by the dumping of toxic wastages on land. It changes the physical, chemical, and
biological characteristics of the land and deteriorates the quality of land that make it unfit for cultivation.
17. (a) some social problems
Explanation: Some social problems like the unhealthy working environment, corruption, environmental pollution, etc. have
been created by the business. So, Business people have the skills to solve such social problems.
18.
(b) air pollution
Explanation: The injection of harmful gases such as carbon monoxide emitted from automobiles, smoke, and chemical from
factories, etc. reduce the quality of air. Thus cause air pollution.
19.
(d) noise pollution
Explanation: Some factories and vehicles produce a lot of noise. People living in a noise polluted area fall victim to many
diseases like deafness, violent behaviour, mental disorder, etc.
20.
(c) shareholders
Explanation: The shareholders are the owners of the company. They have provided the capital to the company. Therefore
management is responsible
To provide a fair return on capital invested by them
To ensure the safety of their investment

21. The solution to social problems and social issues often requires huge financial investment from the business side. In such
circumstances, the businessmen are likely to shift the burden on customers instead of bearing it themselves by increase the price
of the product.
22. The company is trying to achieve Legal Responsibility of business.
23. Social responsibility towards shareholders is to provide a fair return on their capital investment.
24. It means no distinction of rich-poor, religion and caste.
25. i. Reduction of Health Hazards
ii. Reduced Risk of Liability.
26. Examples of business ethics are:
i. Charging fair prices from the customers.
ii. Giving fair treatment to all the workers.
iii. Earning reasonable profits.
27. Businessmen often pass the burden of social responsibility to consumers in the form of higher prices.
28. Respecting religious sentiments and dignity of people while advertising for a product.
29. To produce goods and services as per the needs of the society.
30. Yes, it is the social responsibility of businesses to provide safe, proper and healthy working conditions to its workers.

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31. Among medical, law and business, ethics is required in all of these professionals as they have to follow their code of conduct.
32. Justification for Existence & Growth.
33. i. Justification for Existence and Growth
ii. Long-term Interest of the Firm
34. This concept of Ethics is concerned with what is right and what is wrong in human behaviour on the basis of a standard form of
conduct/behaviour of individuals as approved by the society in a particular field of activity.
35. Every business enterprise has a responsibility to operate within the legal framework of society. The businessman is expected to
abide by the rules and regulations and to behave in a socially responsible manner.
36. CSR (Corporate Social Responsibility).
37. Through the efficient communication system, the employees can freely report incidents of unethical behaviour.
38. No, Sky Ltd. is not adopting socially responsible behaviour. It is the responsibility of the business to follow fair trade practices
and should not conduct malpractices like misleading advertising.
39. Lack of broad public support.
40. The parties who are interested in business are present and potential investors, management, employees, lenders, suppliers and
other trade creditors, customers, bankers, government agencies and the general public.
41. (a) Both A and R are true and R is the correct explanation of A.
Explanation: It is the social responsibility of every business to provide their own solutions to undertake steps for checking all
sorts of pollution and protecting environmental resources.
42. (a) Both A and R are true and R is the correct explanation of A.
Explanation:
It's the Social responsibility of the companies to respect their workers' democratic freedom to form unions.
43. Arguments against Social Responsibility:
i. Profit Maximization is the Ultimate Goal: Business units are accused of having profit maximization as their goal.
ii. Lack of social skills: Managers are here to solve economic problems and they do not possess knowledge or skills to provide
the right solutions for social problems.
iii. Side effects on consumers: Customers suffer because of the solving social problems and taking social care require a huge
financial investment.
44. Types of Pollution:
i. Air Pollution: Air Pollution is the result of a combination of factors which lowers the air quality. It is mainly due to carbon
monoxide emitted by automobiles which contributes to air pollution.
ii. Water pollution: Water becomes polluted primarily from chemical and waste dumping. Water pollution has led to the death
of several animals and posed a serious threat to human life.
iii. Land pollution: It is caused by the dumping of toxic wastes on land which damages the quality of land, making it unfit for
agriculture or plantation.
iv. Noise Pollution: It may be defined as unpleasant, unwanted, and disagreeable sounds that cause damage or harm to the living
organisms. It may be machines, factories, vehicles, etc.
45. i. "Not only this.....got employment."
Social Responsibility towards the public in general. Factory provided opportunities to the workers for meaningful
work.
ii. "All the workers of the factory....consulted when the main decisions were taken."
Social responsibilities towards employees. Factory created the right kind of environment for workers to work and gave
them fair wages.
iii. "Sonam and her friends...adulteration in their juice."
Social responsibilities towards Consumers. Factory ensured the supply of right quality and quantity of goods and
services to consumers at reasonable prices.
iv. "One day, one of their friends...tax evasion."
Social responsibilities towards Government. Factory respected the laws of the country by not getting involved in tax
evasion activities.
v. "Now all the partners...profit on their investment."
Social responsibilities towards owners. Factory provided a fair return to the shareholders or owners on their capital
investment and to ensure the safety of such investment.
46. Craft Enterprises has ignored the social responsibility towards 'Workers'.

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 Following are the four responsibilities, which Craft Enterprises should have towards workers:
(i) Responsible for providing opportunities to the workers for meaningful work.
(ii) Craft Enterprises should try to create the right kind of working conditions so that it can win the cooperation of workers.
(iii) Craft Enterprises must respect the democratic rights of the workers to form unions.
(iv) Workers must be ensured of fair wages and fair deals from the management.
47. Environmental protection is the practice of protecting the natural environment by individuals, organizations and governments. Its
objectives are to conserve natural resources and the existing natural environment and, where possible, to repair damage and
reverse trends.
48. i. Community
ii. Shareholders
iii. Community
iv. Government
v. Consumers
vi. Workers
49. Pollution enforces a number of adverse effects on the environment, and the health of living beings. Air pollution may result in
breathing disorders such as asthma, food poisoning and many other diseases. Also, it has adverse effects on the environment and
forestry. Noise pollution can result in damage to the hearing power of a person, sleeping disorders, etc. and, water pollution is the
key reason for degradation in drinking water sources and lack of sanitation. Due to the presence of such harmful effects of
pollution, there is a strong need to control pollution to protect living beings from these health hazards.
50. i. The justification for existence and growth: The primary goal of business is to make profits as only profits can help the
business sustain and expand. Profits should only be made as a return of service to the society by producing goods and services.
ii. Avoidance of government regulation: When a government feels that the business is not socially responsible, the government
limits its freedom.
iii. Converting problems into opportunities: Business means risk and turning risky situations into profits can also be related to
solving social problems.
51. Consumers are the key figures in the market for the growth and development of a business.
The main responsibilities of business towards consumers are:
i. To supply a better quality of goods at the right time and at a reasonable price.
ii. To provide after-sale service on the basis of nature of a product.
iii. To provide information about the changes introduced by the business.
52. i. Discretionary Responsibility
ii. Ethical Social Responsibility
iii. Economic Responsibility
iv. Legal Responsibility
v. Discretionary Responsibility
vi. Ethical social Responsibility
vii. Legal Responsibility.
53. No, Samarjit is not a socially responsible sweet seller as he is ignoring his social responsibility towards consumers and society.
54. The environment is defined as the totality of man’s surroundings including both natural and man-made surroundings including
natural resources like land, water, air, fauna and flora, and raw materials; or man-made resources such as cultural heritage,
socioeconomic institutions, and the people.
Environmental pollution refers to the injection of harmful substances into the environment which causes a change in the physical,
chemical and biological characteristics of air land and water and can harm the life of humans and other species.
55. Types of pollution:
i. Noise Pollution
ii. Water Pollution
iii. Air Pollution
iv. Land Pollution
56. Social responsibility is a moral obligation on a company or an individual to make decisions or actions that is in favour and useful
to society. Social responsibility in business is commonly known as Corporate Social Responsibility or CSR. For any company, this
responsibility indicates that they acknowledge and appreciate the goals of the society, and therefore, would support them to
achieve these goals. Businessmen must review the impact of their decisions or actions on the other sections of the society.

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57. No, I disagree with this statement. If the owners think of social responsibility and society, the whole system should not turn
inefficient because the prosperity and growth of the business are possible only through continuous service to society.
Business enterprises have started realizing the fact that social interest and business interest are not contradictory. Instead, these are
complementary to each other. The feeling that business can grow only through the exploitation of society has given way to the
belief that the long-term benefit of business lies in serving the society well. So also, a useful institution like business is recognized
as an essential element of modern civilised society.
Businesses are no longer considered merely money crazy entities, which can be allowed to mint money at any cost and get away
with any kind of business practices. New social standards consider the economic activity of business enterprises as legitimate but
with the condition that they must also serve social needs. No business can be done in isolation from society. It is the society that
permits the business to exist and grow and it is on the basis of social standards that business functioning is to be ultimately judged.
58. Social responsibility is a voluntary effort on the part of the business to take various steps to satisfy the expectation of the different
interest groups. The various interest groups may be owners, investors, employees, consumers, government and society, or
community.
59. i. Reduce the risk of liability: It is quite possible that an enterprise is held liable to pay compensation to its workers affected by
the toxic gases, liquid and solid waste which gets released into the environment. Therefore, suitable pollution control devices
should be installed in the business premises and systems to reduce such risk.
ii. Lead to cost savings: Cost savings are particularly noticeable when outdated production technologies generate liquid and
solid waste, waste disposable mechanisms are ineffective and cost of cleaning the plants are high. Such economic losses can
be reduced by an pollution control mechanism.
60. Yes, the export house is an ethically responsible enterprise. It has shown concern for people and the environment. The firm is
working not for its own sake but is also involved in the betterment of the society by generating employment opportunities to
enhance the quality of life of the people.
61. Discretionary Responsibility. This is a purely voluntary obligation that an enterprise assumes. A business enterprise assumes this
responsibility to show its concern towards problems faced by society.
62. Social responsibilities like pollution control and environmental protection are very costly and often require huge financial
investments. Businessmen simply shift this burden of social responsibility by charging higher prices from the consumers instead
of bearing it themselves.
63. a. Discretionary responsibility is being discharged by Britannia Industries Ltd. as it is working towards the welfare of the
children purely on a voluntary basis.
b. The other two other kinds of social responsibilities are stated below:
i. Economic responsibility is the primary responsibility of a business enterprise and relates to the production of goods and
services that are as per the needs and wants of society and selling them at a profit.
ii. Legal responsibility means that every business must operate within the laws of the land.
64. Social responsibility is a means of achieving sustainability. Adopting social responsibility principles such as accountability and
transparency can help ensure the long term viability and success of an organization.
Major areas for social responsibility of business are:
1. Responsibility towards shareholders or owners:- A business enterprise has the responsibility to provide a fair return to the
shareholders or owners on their capital investment and to ensure the safety of such investment.
2. Responsibility towards the workers:- Management of an enterprise is also responsible for providing opportunities to the
workers for meaningful work.
3. Responsibility towards the consumers:- Supply of right quality and quantity of goods and services to consumers at
reasonable prices constitutes the responsibility of an enterprise towards its customers.
4. Responsibility towards the government and community:- An enterprise must respect the laws of the country and pay taxes
regularly and honestly. It must behave as a good citizen and act according to the well-accepted values of society.
5. Responsibility towards the environment and general public:- An organization must take care of the surrounding
environment of a location from where it operates. Along with the environment, it must take care of the general public that
makes up a big part of society.
65. Since the business has contributed the maximum to the pollution of the environment, therefore, it becomes the responsibility of
business to help in solving this problem. Even otherwise also it is the social responsibility of business to protect the environment
from being polluted.
i. Scientific methods should be employed to check the poisonous gases and smoke being mixed with air.

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 ii. Dirt should not be thrown into the water to check water pollution and the dirty water should be released into river water only
after treating it scientifically.
iii. Similarly, noise-checking instruments should be installed in factories so that noise pollution is checked effectively.
66. It is widely recognized that rapid industrialization is causing great damage to the environment because of the following factors:
i. Pollution means injection of harmful substances into the environment because of industrial production. Since some waste is
inevitable in the use of materials and energy, the manufacturers face a great challenge in minimizing the adverse impact of this
waste by using proper technologies.
ii. Pollution exists because the environment can absorb only a limited amount of pollutants and wastes.
iii. Dumping of toxic wastes by the industries on land has damaged the quality of the land.
iv. Noise caused by the running of factories and manufacturing activities also creates noise pollution.
67. i. It is a limited partnership.
ii. Mona's attempt at not letting the 'Anti-pollution Plant' installed contributes to the unethical behaviour of the firm. Here the
'Government rules' and 'Social Responsibility' - the two important values - are being overlooked/ignored.
iii. The e-business being done by this firm is known as B2B Commerce (Business-to-business Commerce).
iv. The name of the process of providing the benefit of specialisation is 'knowledge Process Outsourcing - KPO'.
68. Business should work for the economic and social well-being of the community. The responsibilities of business towards society
are as follows:
i. Maximum utilization of natural resources.
ii. To provide opportunities to public for meaningful work.
iii. To preserve social and cultural values.
iv. To uplift the weaker section of the society.
69. Need for IOC to do such activities are because:
i. To play a fair role in civic affairs.
ii. To provide and promote general amenities and help in creating better living conditions in general.
iii. To preserve and promote social and cultural values.
iv. To take steps for developing backward areas through providing free education to children of slum areas.
Two values upheld by IOC by discharging such activities -
i. Maintenance of society.
ii. Holding business responsible for Society Related Issues.
70. The name of this concept is the Social Responsibility of Business.
Social Responsibility of business refers to its obligation to take those decisions and perform those actions which are desirable in
terms of the objectives and values of our society.
Social Responsibility of business can be divided into four categories- Economic Responsibility, Legal responsibility, Ethical
responsibility and Discretionary responsibility,
Some of the specific responsibilities and enterprise may be outlined as:
i. Responsibility towards the shareholders or owners
ii. Responsibility towards the workers
iii. Responsibility towards the consumers
iv. Responsibility towards the government and community
71. Business ethics refers to a set of moral values or standards pr norms that govern the activities of a businessman. Ethics defines
what is right and what is wrong.
Elements of business ethics:
i. Identification: It means that businessmen should be competent enough to rank and identify the ethical issues in order of
importance.
ii. Evaluation: It means that businessmen must develop the rules and regulations in order to evaluate the ethical issues of the
business.
iii. Imagination: A businessman should be imaginative enough that he should think about society before taking any decision about
the business. He must be aware of the areas towards which people are sensitive.
iv. Tolerance: Businessmen must have the quality to tolerate ethical disagreement.
v. Obligations: The business decision taking process should be evaluated so that it must fulfill ethical obligations.
72. Following steps can be taken by the business to adopt fair trade practices:

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 i. Use of standard weights and measures.
ii. Payment of fair and consistent remuneration to workers.
iii. Not to manufacture and sell adulterated goods.
iv. Production of good quality products.
v. Earning reasonable and justifiable profits.
vi. Complying by the laws of the land.
73. a. The concern towards environmental protection is being discussed above. The four specific steps which can be taken by
business enterprises for environmental protection are stated below:
i. The top management of the enterprise should be absolutely committed to create, maintain and develop work culture to
promote environmental protection and pollution prevention.
ii. All the divisions and employees of the enterprises must share this commitment towards environmental protection and
pollution prevention.
iii. The enterprises must develop clear-cut policies and program m es for purchasing good quality raw materials, employ
superior technology, use scientific techniques of disposal and treatment of wastes and develop employee skills for the
purpose of pollution control.
iv. The enterprises must comply with the laws and regulations enacted by the Government for the prevention of pollution.
b. The two values being propagated by Tata Motors are:
i. Environment sustainability
ii. Responsibility
74. The sole aim of earning profit has the following effects on business:
i. Responsibilities towards workers: Labour is one of the most important factors of production. Profit maximization by-passes
the interest of workers in a way that they do not get fair remuneration and hence they don't feel motivated. In the absence of
motivation, they will not work up to their full potential because of which the quality and standards of the products and services
will deteriorate and will ultimately lead to losses.
ii. Responsibilities towards customers: Customers are very important for every business in the sense that without their
existence, even thinking about business is merely a dream. Profit maximization by-passes their interest because goods/services
are overpriced which ultimately leads to a reduction in the number of customers, a reduction in the number of sales, and
thereby reduction in profits.
iii. Responsibilities towards government and society: Profit maximization overlooks the interest of the society in which it
works. It may propel a businessman to indulge in unfair trade practices like hoarding, black marketing, etc. Business must
protect the natural environment and should avoid bad working conditions.
iv. Ignores long-term interest of the business itself: Profit maximization may be the objective for the short term, but in the long
term it may lead the business to a dangerous position where it could become very difficult for the business to even survive.
75. Some of the steps which can be taken by the business enterprises for environmental protection are as follows:
i. A Definite commitment by top management of the enterprise to create, maintain and develop work culture for preventing
pollution.
ii. Ensuring that commitment to environmental protection is shared throughout the enterprise by all divisions and employees.
iii. Complying with the laws and regulations enacted by the Government for the prevention of pollution.
iv. Participation in government programmes relating to the management of hazardous substances and clearing up of wastes.
v. Periodical assessment of pollution control programmes in terms of costs and benefits so as to increase the progress with
respect to environmental protection.

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