Milton Friedman s Philosophy Of Corporate Responsibility

3. a. Milton Friedman’s philosophy of corporate responsibility is that â€Å"social matters are not the concern of business people and that these problems should be resolved by the unfettered workings of the free market system†. As harsh as it may sound, what he mean course to say was that a business has â€Å"to make as much money as possible while conforming to basic rules of society†. Meanwhile, Archie Carroll’s philosophy states that a business has â€Å"four kinds of social responsibilities† that a firm must address in their corporate social responsibility, which are economic, legal, ethical and philanthropic duties. Clearly they have two very different views. Friedman sees that a business’s ultimate goal is to generate profits, then comes the legal and ethical responsibilities it must fulfill. To Friedman, there is no need to be philanthropic because the firm’s job is only to make money for the economy, and it is the economy ’s obligation to be philanthropic with the profits. Carroll agrees with Friedman that a company must be profitable, then be legal by obeying the law, and be ethical to avoid harm. However, Carroll believes it is also desired and in the best interests of the company to be philanthropic because it will â€Å"create a good corporate citizen†. Friedman has an economic view whereas Carroll has a social view. In my opinion, Archie Carroll’s philosophy on corporate social responsibility is more accurate. The social pyramid model he made to go with his views makesShow MoreRelatedChaser Essay1713 Words   |  7 PagesPhilosophy 6: Ethical Issues in Business Midterm Essay Chase Novak Dr. Parker Need or Greed? 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