Answer to Question #308123 in History for Innolisha

Question

There is conflict between the manager and one of the employees in the procurement

department of the company. They are in a disagreement on whether the company should make

charitable donations. According to the manager, the company should not give money to charity

because it does not generate any income. In contrast, the employee has expressed that it is

important that the company give back to the community.

Answer 1

 

Corporate philanthropy-the investments a company or corporation undertakes to promote the welfare of the society mostly by charitable donations. The donations could be funds or time. This concept has been on the decline as many people don’t understand its benefits especially the executives who don’t see themselves in a win-win situation. This is brought about by critics who continuously demand for social responsibility and investors aiming at short term profit. There also stands a disadvantage for the companies because giving more doesn’t satisfy critics either and the more they give, the more is expected of them.

           Nevertheless there are several benefits of charity donations as discussed in this paper.

           The company can be able to get a charitable donation tax deduction. Such donations could be sponsoring charities or maybe cash donations. The tax deductions can be up to 50% of the adjusted Gross income.

           Company involvement in charity work is a great boost to employee morale and happiness. It is such a fun event for everybody as it enables interaction with all social classes and improves the self-worth of the employees as they feel important for giving back to the ones supporting their business (buyers’ maybe).

           Charity programs are ways of advertising the business. This is achieved by the posters and information on social media platforms all done when spreading the message about the charity event keeping in mind that advertising for charity has a tax deduction.

           Giving back to the community makes a difference in lives of the people and for that it is right to say it is the top aspect of being a successful business owner.