Social responsibility is apractice pursued by businesses that emphasizes on satisfying legal, economic,ethical, and philanthropic duties as expected by its stakeholders. A companyshould pursue their social responsibilities as a business practice because itestablishes stronger relationships with their employees, customers, and eventhe community. No matter the size of the company, it is important that every businesspursues this business practice because every business has an effect on thecommunity. It is believed by many that companies should follow four types ofresponsibilities: ethical, legal, financial, and philanthropic. It is crucialfor companies to succeed financially, in order for them to provide a return oninvestment for the stakeholders of their company, and provide services alongwith goods to the economy. Companies are also expected to abide by laws andregulations that identify what is proper business conduct. Businesses are lookedto also abide by ethical values that are relevant in the business world. Actsof philanthropy supports the community by funding for their well-being.
Monsantois one of the largest producers of genetically modified products with its mostpopular product being the crop seed. The company faced much backlash for their negativeimpact on the environment along with their neglect for consumer safety due totheir product. The company also faces an increase in competition fromcompanies, such as Pioneer Hi-Bred International, Inc.
, that prices theirproducts strategically along with also providing consumers with the option tosample seeds. As we can see from these examples, the company lacked socialresponsibilities in a variety of ways. Despite the amount of scrutinyMonsanto received for their lack of social responsibilities, they have chosento make a positive change in the future. Monsanto is in the process of creatingadvancements that could provide them the competitive advantage along with alsoproviding benefits to farmers all over the world. The company has establishedan alliance with a Danish biotech firm to create microorganisms that can beused to prevent pests and promote plant growth. These microorganisms couldserve as a better alternative to the genetically modified seeds.
Monsanto needsto continue to work in the best interest of their stakeholders by providing positiveinnovations in their industry.