Briefly explain the differences between business ethics and

corporate social responsibility

Although the two terms, business ethics (BE) and

corporate social responsibility (CSR) are often used
interchangeably it is wrong to do so.
BE can be defined as behaviour judged to be good,
just, right, and honourable, based on principles or
guides from a specific ethical theory.
CSR is defined much more broadly as The continuing
commitment for business to behave ethically and to
contribute to economic development while improving
the quality of life of the workforce and their families as
well as of the local community and society at large.
Therefore BE is only a component part of CSR. An
alternative definition of CSR states that
society can:
I. require business to discharge its economic and legal
duties.
II. expect business to fulfil its ethical duties.
III. desire business to meet its philanthropic
responsibilities.

In the context of Ds logging business the chief executive

argues that the company always acts ethically since it has the
agreement of the national government... This presupposes that
the government itself is acting in the best interests of society.
This is not always the case and much of the focus of both the
OECD and WTO is on the unethical behaviour of governments
as well as businesses. With a logging business, which has the

potential to create considerable environmental damage in

remote areas of a country, the possibility of unethical behaviour
is high. From a CSR perspective, D needs to think carefully
about its business practices if it is to continue with land based
logging. The ecological damage must be minimised and, once
logging has finished, as much as practicable should be done to
restore the habitat to its previous condition. In the event that
the areas in which it operates have a population, D should be
looking for ways to minimise the damage to the livelihoods and
wellbeing of those people that live there. This could be done by
providing education facilities, offering training for those who
previously lived off the forest. If possible, it should consider
replanting the area which has been harvested with appropriate
trees to provide an element of sustainability. Taking a more
global perspective, D should work with the environmental
groups that have criticised them. The company should be
seeking to conduct its logging in sustainable forests and take
advice to ensure that it minimises its environmental impact.
Having said this, it must not be forgotten that D is a
commercial organisation and must continue to make the best,
sustainable, profit for its shareholders.