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Companies that run in the society have a responsibility placed on them by the society. Sometimes, they get credit from the society for things they contribute towards the betterment of the society; however, the society blames companies for reasons that may be true or false, altogether. Overall, they have to bear with the corporate responsibility bestowed on them.

This paper is an analysis of strategy and society. It looks at the link between competitive advantage and corporate social responsibility.


Legal and social forces in the society that include governments, activist groups, and the media among other bodies hold companies accountable for social consequences that come as a result of their activities. Sometimes, companies take responsibility for social consequences they have caused, for example, when they pour waste and chemicals into water bodies and land. This results to environmental pollution and disease outbreaks, which is detrimental to the society. However, companies take blame for things they should not be responsible for their happening. For instance, when a company sells goods in plastic bags, it is the responsibility of the citizens to damp the plastic bags in safe places. However, when citizens throw the plastic bags and cause environmental pollution, blame is directed to companies (Porter and Kramer, 2006).

Many companies have made milestones improving environmental and social consequences caused by their activities. However, this has not done much. This is because companies pit business against the society ignoring the fact that the two entities are interdependent. Secondly, the society puts pressure on companies to exercise corporate social responsibility in a generic manner instead of a relevant manner in relation to individual company's strategy.

Corporate social responsibility approaches prove to be remarkably fragmented. They do not relate to business strategies. Thus, they block great opportunities for companies to benefit the society. However, if companies analyze their prospects for social responsibility with the same frameworks that foster their core business objectives, corporate social responsibility may become a source of opportunities, innovation, and advantage to competition (Porter and Kramer, 2006).

Corporate social responsibility prevails on four justifications. The justifications include moral obligation, sustainability, license of operation and reputation. The moral obligation argues that companies should act as excellent citizens and do the correct thing that is expected of them. Sustainability puts an emphasis to environmental and community stewardship. License of operation entail that companies should seek permission to do business from the government, society, and other stakeholders. Many companies use reputation claiming that corporate social responsibility improves a company's image, raises the value of its stock, strengthens its brand and boost its morale to remain as an active competitor in business.

For companies to operate well, they must integrate company practice to societal context. They have to mitigate harm from value chain activities. They have to prioritize social issues because they function in society. Companies must integrate business with the society. This is because the society acts as the recipient of the company goods and products. This is possible through a sound corporate social responsibility. Companies must identify points of intersection, address social issues, and map opportunities that can come from the society (Porter and Kramer, 2006). This information helps to better functions of companies.


Companies cannot operate without corporate social responsibility. This is because corporate social responsibility helps them become responsible which provides an advantage to the public. However, much corporate social responsibility has a negative impact to companies, the advantage it has, is of much importance. When a company begins business, it has to ensure that it meets the requirements posited by corporate social responsibility. The company can use this to its advantage rather than seeing it as a limitation to business.

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