RESPONSIBILITIES OF ENTREPRENEURS IN THE SOCIETY

Responsibilities of Entrepreneurs in the Society

2. Responsiblities and
Accountabilities of
Entrepreneurs

3. Social Responsibility
•is a crucial part of business ethics. A
responsible organization considered
and recognizes the impact that its
decision and activities on society and
environment, behaves in a manner
that positively contributes to
employees, government, creditors,
suppliers, consumers, general public
and other stakeholder.

4. A.THE RESPONSIBILITIES
AND ACCOUNTABILITIES
OF ENTREPRENEURS TO
EMPLOYEE

5. 1.PAY WAGES AND TAXES
Entrepreneurs have the responsibility to pay
their employees of their business at least the
minimum hourly wage in their locality and to
pay each employees money owned from
working per pay period, including overtime,
sick leave and vacation wages.

6. 2.CREATE AND MAINTAIN A SAFE WORKPLACE
Entrepreneurs must also make employees
aware of the areas in their business that
have a high risk for injury and train their
employees in safety procedures to minimize
the risk of injury.

7. •3.FACILITATE WORKER’S COMPENSATION INSURANCE
•When injuries occur through no fault of
their employees, it’s their responsibility to
file claim with their worker’s compensation
insurance provider. Business must treat
their injured employee with respect and file
the claim without attempting to cause
delay un processing or attempt to deter
the worker from filling a claim at all.
•

8. •4.ENFORCE ANTI-DISCRIMINATION LAW (EEO)
•Employees cannot be disadvantaged,
dismissed, or nor given employment for
any reasons mentioned. Any problem or
issues that arise with guests or colleagues
from overseas may require the
involvement of embassies, government
agencies, local cultural groups, or
diplomatic services to help resolve them.
•

9. •5. EQUAL EMPLOYMENT OPPORTUNITY (EEO)
•refers topractices that are designed so
that all applicants and employees are
treated similarly without regard to
protected characteristics such as race
and sex.
•

10. •6. RESPECT HUMAN RIGHTS
•Business operations are interrelated with a
wide range of people and societies
throughout the world. It implements and
enforces a code of conduct that fosters
respect for human rights.
•

11. •7. SUPPORT CAREER DEVELOPMENT
•Provide a human resources development
system that supports the career of
employees, a self-development support
program, and transfer opportunities for
willing employees.
•

12. •8. TRAIN AND EDUCATE EMPLOYEES
•Acquisition of new knowledge and skills
through the professional and personal
development of employees is prerequisite
and a guarantee of business success.
•

13. •9. MANAGE PERFORMANCE
•“What gets measured gets done” is an
expression you will often hear when
talking about performance management
and the simple meaning behind this
statement is the key to our philosophy of
rewarding and managing performance.
•

14. •10.GIVE REWARDS AND BENEFITS
•Reward employees fairly and attractive, in
line with prevailing conditions on the cold
market. Gather data from the labor market
on a regular basis, ensuring the rewards
structure remain competition.

15. •11. GIVE REWARDS AND BENEFITS
•Reward employees fairly and attractive, in
line with prevailing conditions on the cold
market. Gather data from the labor market
on a regular basis, ensuring the rewards
structure remain competition.

16. A.THE RESPONSIBILITIES
AND ACCOUNTABILITIES
OF ENTREPRENEURS TO
GOVERNMENT

17. •1. OBSERVE LAWS, RULES AND REGULATIONS
•The business organization is required to
follow the rules and regulations laid by the
government in a proper manner.
•

18. •2. PAY TAXES
•Business must pay taxes and fees to the
government in the course of carrying out
their operations. These can include taxes
on revenues, tariffs on imported products,
and a number of administrative fees
necessary to register the business.
•

19. •3. FOLLOW ENVIRONMENTAL REGULATIONS
•Many companies, particularly those in the
in the industrial and manufacturing
sectors, face heavy regulations regarding
the number and variety of pollutants that
they are allowed to emit.
•

20. •4. ABIDE BY LABOR LAWS
•Businesses that hire employees must
abide by a slew of laws relating to how
they treat their employees. These includes
laws related to how many hours he may
work, and the criteria under which he can
be hired and fired.
•

21. •5. AVOID RESTRICTION TRADE PRACTICES
•Companies are forbidden from engaging in
certain kinds of restrictive trade practices
that limit competition.
•

22. •6. DISCLOSE FINANCIAL STATEMENTS
•Companies must disclose a number of
financial statements to the government in
the form of tax returns, and, if the
company makes ownership of shares of
stock community available, to the public as
week. This financial transparency helps to
ensure that the company is not violating
any laws such as withholding taxes, and to
aid the public in deciding whether to invest
the company. (Wolfe, 2016)
•

23. •7. AVOID CORRUPTION
•Business in most nations are also
forbidden from bribing public officials,
which would subvert ability to carry out
their jobs impartially in the interest of the
country’s citizen. (Wolfe, 2016)
•

24. •8. ASSIST IN IMPLEMENTING SOCIO-ECONOMIC POLICIES
•The Government expects cooperation and
help from the business sector to help in
implementing programs and policies
relating to social and economic
development.
•

25. •9. HELP EARN FOREIGN EXCHANGE
•The government also expects from a
business organization that it will earn
foreign currency by exporting goods in the
foreign market. The government requires
this foreign currency importing valuable
and important products. (BMS Team,
2016)
•

26. •10. ADVISE THE GOVERNMENT
•The business organization has to provide
timely advice to the government in respect
of framing important policies such as
industrial policy, Import and Export policy,
Licensing policy,etc. (BMS Team, 2016)
•

27. •11. COMPLETE PROMPTLY GOVERNMENT CONTRACTS
•The government has to take up several
works such as construction of roads,
bridges, flyovers, airports, etc. Sometimes
these works are undertaken by the
government departments but a more
common method of undertaking that work
is to invite tenders and give contracts to
business.

28. •12. CONTRIBUTE TO GOVERNMENT TREASURY
•The commercial organization must
contribute the funds to the government
during emergencies and natural calamities
like floods, earthquakes, etc. (BMS Team,
2016)
•

29. •13. CONTRIBUTE TO POLITICAL STABILITY
•The commercial organizations should work
towards the political stability of the
country. The stable government often
brings more return and peace in a
democratic country. (BMS Teams, 2016)
•

30. A.THE RESPONSIBILITIES
AND ACCOUNTABILITIES
OF ENTREPRENEURS TO
CREDITORS

31. •1. TO OBTAIN LOANS ON REASONABLE CONDITIONS
•Some certain conditions required to be
fulfilled to obtain any type of loan. These
conditions should be reasonable, both for
the creditors and the business
organization.

32. •2. TO FOLLOW MORTAGE RULES
•The creditors provide loans secured and
unsecured forms. If creditors has provided
the secured loan on the mortgaged
property, the entrepreneur should follow
the rules of mortgages property should be
safeguarded and be handed over creditor,
if so required under the rules.

33. •3. TO FOLLOW BUSINESS ETHICS
•Both entrepreneurs and creditors should
follow the business ethics in providing
loans and in repayment of loans. The loan
produces should be honestly complied
with.

34. •4. PROPER UTILISATION OF DEBT CAPITAL
•Loans are obtained for particular
objectives. Hence, entrepreneurs should
utilize the loan amount only for the desired
objectives. The loan amount should not be
utilized by small entrepreneurs for
unproductive activities. Not only that, but
loan capital should also be invested only
for objectives and projects.

35. •5. REGULAR PAYMENT OF INSTALLMENT AND INTEREST
•The entrepreneurs should pay loan
instalment and interest regularly,
according to repayment conditions. If
instalment and interest are not paid timely,
the loan burden goes on the reputation of
the business organization.

36. •6. REPAYMENT OF LOAN
•Loans should always be paid on the
maturity date, which facilities regular
capital flow in the business society and
also saves the Banks and Financial
Institutions from adverse effects.

37. A.THE RESPONSIBILITIES
AND ACCOUNTABILITIES
OF ENTREPRENEURS TO
CREDITORS

38. •1. TO PAY FAIR PRICES OF GOODS
•The entrepreneurs should pay reasonable
prices for the materials purchased from
the suppliers.
•Often, the farmers provide cottons,
sugarcane and jute etc. to various
industrial, for use as raw material.
However, the industrialists pay them very
low prices for these commodities.
•Entrepreneurs should pay reasonable
prices for this type of raw materials.

39. •2. TO PAY IN REASONABLE TIME
•The responsibility of the entrepreneurs is
that payment to the suppliers may be
made in time so that they may not have to
face financial difficulties and may carry out
their functions smoothly.
•

40. •3. TO INFORM ABOUT CHANGES IN MARKET
•The entrepreneurs have the responsibility
to provide regular information to the
suppliers regarding changes happening in
the demand of the commodities in
domestic and foreign markets fashion and
design, etc.
•

41. •4. TO GIVE GUARANTEE OF MINIMUM PRICE
•The entrepreneurs should give the
guarantee of minimum prices to the
suppliers so that they may feel assured
about the certainty of the price and may
continue to maintain their will power.

42. •5. TO MOTIVATE INDIGENOUS
•If the suppliers of the raw materials,
machinery, and equipment are both
indigenous and foreigners, indigenous
suppliers should be encouraged.
•

43. A.THE RESPONSIBILITIES
AND ACCOUNTABILITIES
OF ENTREPRENEURS TO
CUSTOMERS

44. •1. DETERMINATION OF FAIR PRICES
•The entrepreneurs should determine fair
prices for commodities and services. The
producers should regulate the production
cost of commodities and the distribution
should earn marginal profit only.

45. •2. TO RENDER GOOD AND ECONOMIC SERVICES
•The business institutions for organizations,
providing business services and other
services, like banking , insurance, water,
electricity, transportation, communications,
and publications, etc. have the
responsibility of providing good and
cheaper services to the customer.
•

46. •3. STANDARDIZATION OF GOODS
•The entrepreneurs should get more and
more. The goods purchased by the
customers should be perfect, or else some
mishaps may occur with the customers. It
is not worth that on all standardized
commodities, the sign of country standard
bureau should be marked.
•

47. •PACKAGING
•4. To save the goods from being damaged
or spoiled, due to the weather or
transportation, these should be packed
well. The packaging should be
economical. Special attention is given on
the packaging of machines and food
materials. The responsibility of the
entrepreneur is to arrange attractive and
strong packing. But, it should not heavily
increase the cost of the product.
•

48. •5. RIGHT AND TRUE ADVERTISING
•Advertisements should not be untrue and
false. Customers or consumers attract to
the goods mainly through advertisements.
If that proves wrong and false customers
will not believe in the future. Rather, he will
not be able to make decisions regarding
the purchased of goods. The content of
advertisement should be in accordance
with the cultural values.

49. •6. TO AVOID ADULTERATION, LOW WEIGHT AND
MEASUREMENT OF PRODUCTS
•The entrepreneurs should avoid
adulteration, low weight, and
measurement. Adulteration in life-saving
goods medicines, food items, and drinks
are damaging for life. In this regard, the
weight and measures act should be
complied in a specific country.

50. •7. REDRESSAL OF CUSTOMERS COMPLAINTS
•On several occasions, costumers make
complaints regarding the quality of the
products, their packing, weight
measurements, technical defects,
charging of higher prices and commodities
not being in accordance with the sample,
etc. All these complaints should be
resolved quickly and if need be the goods
may be replaced also.
•

51. •8. TO MAINTAIN CONTACTS WITH CUSTOMERS
ASSOCIATIONS
•Inpresenttimes,customersorganize
“ConsumerAssociation”andcostumersor
consumerforums’tosafeguardtheirinterests.
Undersuchconditions,theentrepreneuror
businesshastheresponsibilitytomaintain
contactswiththeorganizationofthecostumers
andtheirofficebearers,toavoidmovementsby
them,byredressaloftheircomplaints.As
resultsofsuchcontacts,consumerswillsave
fromlaunchingmovements andthe
entrepreneurswillalsobesavetheirreputation
inthemarkets.
•

52. •9. TO FOLLOW CODE OF CONDUCT
•Some entrepreneurs establish
organizations to protect the interest of the
consumers, whose membership is
voluntary. The entrepreneurs should
become members of such organization
and should follow the rules and by-laws of
such organization.
•

53. •10. AFTER SALES SERVICE
•For several commodities, After-sales
services are required. Only thereafter,
these may be used properly. Hence,
entrepreneurs have the responsibility of
deputing trained employees, engineers
and techniques to provide after-sale
services.
•

54. •11. AVOID OF HOARDING PRACTICES
•The entrepreneurs should avoid the
hoarding of commodities and the creation
of artificial scarcities. Hoarding of
commodities for maximization of profits is
business, legal, social and moral offense.
It makes an adverse effect on the
reputation of entrepreneurs and
businessman.
•

55. •12. TO PROMOTE CUSTOMER RESEARCH
•Entrepreneurs have the responsibility to
encourage market and customer research.
•For that, research regarding new uses of
new commodities and services is
essential, so that changes occurring in
desires, tastes, lookings and designs may
be known.
•

56. •13. EFFICIENT DISTRIBUTION SYSTEM
•The commodities become costlier if the
number of intermediaries for their
distribution is large.
•Hence, an efficient distribution system
should be adopted , so that commodities
do not affect the system.
•

57. •GOOD BEHAVIOR
•14. There are various types of costumers for
the products of business, like the male,
female, children, youth, old, educated, and
uneducated, farmers, and urban, etc.
•For the success of the business,
affectionate civilized and respectful
behaviour with all categories of costumers
is quite essential.
•Irritation towards the costumer may be
damaging to the business.
•

58. A.THE RESPONSIBILITIES
AND ACCOUNTABILITIES
OF ENTREPRENEURS
TOWARDS SOCIETY &
LOCAL COMMUNITY

59. •1. ENCOURAGEMENT TO HEALTHY COMPETITION
•The entrepreneur should encourage
healthy competition among the local
community and make good quality
commodities available to the public at fair
prices.
•

60. •2. TO HELP IN ACTIVITIES OF PUBLIC UTILITY
•The entrepreneur should cooperate in
providing facilities for the public utility to
the local community, like , education,
entertainment, medical, housing, and
libraries. For that may provide help in the
establishment of new schools, parks,
hospitals and rest houses, etc.
•

61. •3. TO PROVIDE EMPLOYMENT TO LOCAL COMMUNITY
•The entrepreneur should provide more
and more employment to the local people
of the place, where he is establishing his
business unit or is performing the business
activity. He should invest capital in such
business which may provide employment
to a large number of people.
•The business has also the responsibility of
providing employment to the members of
the community.
•

62. •4. TO IMPROVE STANDARDS OF LIVING
•The entrepreneur should make all possible
efforts to improve the standard of living of the
public.
•For that, scholarships may be granted to the
children of the employees and other students,
employment facilities, suiting disabled persons
and orphans may be provided for.
•Besides, encouragement may be provided for
various social useful programs of the country,
like, family welfare and small savings, etc.

63. •5. TO PROMOTE PUBLIC RELATIONS
•The entrepreneur should provide
information to the public about the policies
and activities of his business or business
organization and should understand the
feelings of common man.

64. A.THE RESPONSIBILITIES
AND ACCOUNTABILITIES
OF ENTREPRENEURS
TOWARDS WORLD
SOCIETY

65. •TO FOLLOW THE RULES OF INTERNATIONAL TRADE
•This is the responsibility of entrepreneurs
that during the trade with other countries,
he should follow the trade-related rules of
those countries.
•

66. •1. TO AVOID UNFAIR COMPETITION IN INTERNATIONAL
MARKET
•The entrepreneur should not indulge in
unfair completion in the markets of other
countries. Besides, he should not
undertake activities that have adverse
effects on the business of those countries.

67. •2. HONEST BUSINESS DEALINGS
•While dealing with foreign countries, full
honestly should be too.
•Standardized commodities at fair prices
alone should be supplied to foreign
customers. Timely payments to purchases
from foreign countries should be ensured.
All types of cheating should be avoided, or
else I reduce the prestige of the country
also.

68. •3. DEVELOPMENT OF UNDERDEVELOPMENT COUNTRY
•The entrepreneur established new
industries in the underdeveloped country
because such a step helps in economic
development in the underdeveloped
country.
•

69. •3. TO CONTRIBUTE TOWARDS INTERNATIONAL PEACE
•Trade or exchange of commodities
between two countries leas to mutual
cooperation between these countries and
mutual differences reduced.
•In such circumstances, the responsibility of
the entrepreneur is that they increase their
dealings with the businessmen of various
countries, so the world peace may flourish.
•

70. •Shareholder
•taxes
•employee
•commercial
•stacks
•foreign
Complete the sentences by filling in the
blanks with the correct word found in the
box

71. •Business must pay _________ and fees to the
government.
•Business that hires _______________must be abide
a law relating to how they treat their employee.
•The government expects from a business
organization that it will earn ___________currency
by exporting goods in foreign market.
•The _____________________organization must
contribute the funds to the government during
emergencies natural calamities.
•_______________________ are the owners of the
business should provide correct information about
the company.

72. •B. Identify me. Identify whether the
different responsibility falls towards
EMPLOYEE, SUPPLIERS ,
CUSTOMERS, COMMUNITY or
CREDITORS. Write Eif employee, S if
indicate suppliers, CUif customers, COif
community and CRif creditors.

73. •_________1. To Give Best Working
Conditions
•_________2. To Promote Healthy
Competition
•_________3. To follow Mortage Rules
•_________4. To Obtain Loans on
Reasonable Condtions
•_________5. To provide Technical Advice
•_________

74. •_________6. To help in Activities of Public
utility
•_________7. To improve Standard Living
•_________8. To render Good and Economic
Services
•_________9. To follow Code of Ethics.
•_________10. To Give security of
Employment