What principle guides organizations to not violate human rights or environmental rights?

Master the Bookout 6600 Business Concepts Test. Practice with engaging flashcards and multiple-choice questions. Understand each concept thoroughly to excel in your exam!

The principle of social responsibility guides organizations to be accountable for their impact on society, including the need to respect and uphold human rights and environmental rights. This concept emphasizes that businesses have a duty to operate in a manner that benefits society at large, rather than solely focusing on profit maximization. Under social responsibility, companies are encouraged to adopt practices that contribute positively to social well-being while minimizing negative consequences on humans and the environment.

In this context, social responsibility encompasses a broader ethical framework that expects organizations to consider the effects of their actions on all stakeholders, including employees, customers, communities, and the planet. By being socially responsible, organizations actively engage in practices that promote social justice, environmental stewardship, and contribute to the betterment of society, thereby not violating human rights or environmental rights.

The other options, while relevant to business practices, fall short of encompassing the complete social obligation that aims to protect human and environmental rights. For example, corporate governance focuses more on the internal structure and accountability of firms, sustainability generally refers to responsible resource management without necessarily addressing human rights issues, and ethical investment concerns financial decisions based on ethical considerations without specifically mandating social accountability at large.

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