Corporate governance and social Responsibility.

Order DescriptionWater is an increasingly scarce and contested resource, (especially in developing countries), which has become an issue where businesses find themselves increasingly confronted by new expectations and demands from society. Whether on the supply side, as providers of drinking water and sanitation or whether on the demand side, as users or marketers of water, private corporations have become key players in addressing needs that sometimes extend substantially beyond their initial economic interests.
(a) Discuss and critically evaluated the role of privatised water companies in terms of Carroll’s pyramid of Corporate Social Responsibility.
Issues that would require discussion :
Critically evaluate the water companies Economic, Legal, Ethical and Philanthropic responsibilities, and discuss which responsibilities they live up to and where might there be room for improvement.
(b) Examine the privatised water companies in developing countries, in terms of the ‘extended view of Corporate citizenship’. Discuss the governmental roles they have taken on, and evaluate their performance from this perspective.
Issues that would require discussion :
The focus is on the supply side whereby the water companies have taken over the provision of drinking water in developing countries. This has an impact on individual citizens rights.
Under the extended view, the biggest challenge to performance is associated with the model of full cost recovery, as an inflexible application of that model can lead to pricing that is unaffordable for the poorest in society. In that case, a company is arguably not facilitating citizens’ social rights, as someone without water cannot fully participate in society.
(c) Any modern day examples of water companies/countries breaking new barriers and setting a positive example how a water company can be run fairly.
(d) Discuss the sustainability issue of water provision – it is predicted by 2025 demand for useable water will outstrip supply.

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