Chapter 1 Prepared by Deborah Baker Texas Christian

Chapter 1 Prepared by Deborah Baker Texas Christian University Chapter 1 - 1 § THE BUSINESS and SOCIETY RELATIONSHIP BUSINESS & SOCIETY Ethics and Stakeholder Management Carroll & Buchholtz 6 e Business and Society: Ethics and Stakeholder Management, 6 e • Carroll & Buchholtz Copyright © 2006 by South-Western, a division of Thomson Learning. All rights reserved

Chapter 1 Learning Outcomes 1. Characterize business, society, and their interrelationships. 2. Describe pluralism and identify its attributes, strengths, and weaknesses. 3. Clarify how our pluralistic society has become a special-interest society. 4. Identify, discuss, and illustrate the factors leading up to business criticism. 5. Single out the major criticisms of business and characterize business’s general response. 6. Categorize the major themes of the book: managerial approach, ethics, and stakeholder management. Chapter 1 - 2 Business and Society: Ethics and Stakeholder Management, 6 e • Carroll & Buchholtz Copyright © 2006 by South-Western, a division of Thomson Learning. All rights reserved

Chapter 1 Outline § § § § Business and Society as the Macroenvironment Our Pluralistic Society Our Special-Interest Society Business Criticism and Corporate Response Focus of the Book Structure of the Book Summary Chapter 1 - 3 Business and Society: Ethics and Stakeholder Management, 6 e • Carroll & Buchholtz Copyright © 2006 by South-Western, a division of Thomson Learning. All rights reserved

Segments of the Macroenvironment Segment Focus Social demographics, lifestyles, social values Economic nature and direction of the economy Political interactions between firms, politics, and government Technological changes in technological advancements Chapter 1 - 4 Business and Society: Ethics and Stakeholder Management, 6 e • Carroll & Buchholtz Copyright © 2006 by South-Western, a division of Thomson Learning. All rights reserved

Business and Stakeholder Relationships ps u o gr l nta ublic e m lp n o vir enera n E G Lo St cal Fe ate de ra l Community Government Business Chapter 1 - 5 Consumer activists Product liability threats W Consumer O o C m lde Un iv e r e io il n Li a mp ns be nd lo rti m ye es in e ac ori s tiv tie is s ts Employees In s er id s s ra en tor te iz s ra cit ve po te l In or a a C riv tion P itu st Owner Business and Society: Ethics and Stakeholder Management, 6 e • Carroll & Buchholtz Copyright © 2006 by South-Western, a division of Thomson Learning. All rights reserved

Selected Key Terms § § § affluence business ethics business power economic environment education entitlementality ethics Iron Law of Responsibility macroenvironment pluralism political environment Chapter 1 - 6 § § § § § revolution of rising expectations rights movement social contract social environment social problem society special-interest society stakeholders technological environment victimization philosophy Business and Society: Ethics and Stakeholder Management, 6 e • Carroll & Buchholtz Copyright © 2006 by South-Western, a division of Thomson Learning. All rights reserved