(a) Justification for existence and growth.
(b) Long-term interest of the firm.
(c) Avoidance of government regulations.
(d) Availability of resources with business.
Detailed Answer :
Argument for social Responsibility :
(a) Justification for existence and growth : Business exists for providing goods and services to satisfy human needs. Though profit motive is an important justification for undertaking business activity, it should be looked upon as an outcome of service to the people.
(b) Long-term interest of the firm : A firm and its image stands to gain maximum profits in the long run when it has its highest goals as 'service to society'.
(c) Avoidance of government regulation : It is believed that businessman can avoid the problem of government regulations by voluntarily assuming social responsibilities, which helps to reduce the need for new laws.
(d) Maintenance of society : The argument here is that laws cannot be passed for all possible circumstances. People who feel that they are not getting their due from the business may resort to anti-social activities, not necessarily governed by law. This may harm the interest of business itself.
(v) Availability of resources with business : This argument holds that business institutions have valuable financial and human resources which can be effectively used for solving problems.
