Proceedings of the 15th International Academic Conference, Rome

THE THE ROLE OF SOCIAL RESPONSIBILITY AND THE GROWTH PERSPECTIVES IN BUSINESS (THE CASE OF GEORGIA))

EKA CHOKHELI

Abstract:

In modern day, it is impossible to have a proper reputation and to not be active in terms of social responsibility. It is necessary for business sector development. Social responsibility is an additional tool for improving company image, efficiency of communication with the public and for sustainable development and ensuring stability. Social responsibility has become typical and a common way of doing business worldwide. According to the research consultation center Next Consulting, the degree of social responsibility is much higher in European Companies than in their American counterparts. According to the current data, 75 percent of the companies with high social responsibility are European and 25 percent is American. The discussions on corporate social responsibility in Georgia began in 2005. The UN program Global agreement – Georgia was developed in 2007. The program aims promoting the concept of corporate social responsibility and installing international social reporting practices. In recent years, Georgia provided precedents for social reporting – British Petroleum Georgia, Natakhtari have already created first Georgian social reports. Nowadays, business companies in Georgia spend quite a lot on social projects and charities in adequacy to their scope and capabilities. However, their actions often come in forms of individual charity activities rather than in the form of systematic social responsibility project. Therefore, it is important for corporate social activity to avoid chaos and get systematized. Its general principles should include: corporate management and ethics; protection of human rights; environmental protection; addressing the needs of society; forbidding corruption; protection of customer rights and product responsibility; transparency and accountability. The research aims to evaluate the role of corporate social responsibility in business companies, to assess social responsibility in business companies operating in Georgia and to formulate activities for growth. Within the research, theoretical analysis relies on the works conducted by world famous scientists in management, while practical part regards qualitative research of companies operating in Georgia for which surveys and company information resources have been used. The study uses graphical methods and methods of grouping and comparison. The research findings reveal that social responsibility is important for succeeding in business and is necessary to be considered in company strategies. Novelty of the research is determination of corporate social responsibility trends in Georgia and formulation of recommendations for growth.

Keywords: Social Responsibility, reputation, charity, environmental protection.

DOI: 10.20472/IAC.2015.015.043

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