Which of the following is NOT an advantage of being socially responsible?

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Being socially responsible typically means that a business engages in practices that promote social good beyond the interests of the company and its shareholders. This approach can lead to various advantages, such as increased sales, reduced costs, and easier recruitment and retention of employees.

Increased sales often result from a positive public image and customer loyalty, which can arise when consumers feel good about supporting a company that engages in ethical practices. Reduced costs can come from efficiencies gained through sustainable practices or waste reduction initiatives. Additionally, businesses that are seen as socially responsible often have an easier time attracting and retaining talent, as many employees prefer to work for organizations that align with their values.

On the other hand, higher operational complexity often arises as a downside when implementing socially responsible initiatives. These initiatives may require additional layers of compliance, reporting, or different supply chain management approaches, which can complicate operations rather than provide an advantage. Therefore, being socially responsible can genuinely lead to operational challenges, making higher operational complexity the correct choice as the option that does not represent an advantage.

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