Case Study Beyond the Win Win

In the analysis de los Reyes et al. hold the position that a better approach to fill the gaps of CSV managers should adopt a CSV+ which is augmented by ethical frameworks (de los Reyes, Scholz, & Smith, 2017). Consequently, this study intends to provide a critical analysis of the case employing root cause analysis rationale to come with a solution on the best approach Background Porter & Kramer promoted the CSV concept in 2011as a way to curb the crisis of capitalism in the corporate world. Notably, CSV can defined as a set of “ policies and operating practices that enhance the competitiveness of a company while simultaneously advancing the economic and social conditions in the communities in which it operates” (Henning, 2018). According to de los Reyes, Scholz, & Smith (2017), Porter and colleague argued that it was possible for companies to be successful with solely focusing on profits but rather by addressing the myriad problem in the society.

In this regard, while Porter and Kramer emphasis that CVS “provides an overall, strategic view of how to think about the role of the corporation in society. ” de los Reyes, Scholz, and Smith (2017), observe that this assertion ignores the pervasiveness surrounding the B-cases. The authors point concretely that the business environment marred by myriad dynamics giving the example of labor conditions in the supply chain which are different and dependent on the culture of different regions. Furthermore, considering the cases whereby a market is characterized by unregulated pollution, a business manager would be wrong to assume that B- issues are non-existence. Instead, the authors argue that while CSV might not offer the rationale to tackle the ethical issues in B- cases, managers are tasked with a role of ensuring the ethical legitimacy of their companies.

In their analysis de los Reyes et al. , point out that CSV is highly effective in cases involving win-win situations, which they refer as A cases (de los Reyes, Scholz, & Smith, 2017). For instance, in cases where business leaders are granted an opportunity for the business financial returns by ushering in a significant social value the created shared value is obvious allowing for eased application of CSV. However, in other cases such a win-win scenario is not an option cases which the authors refer as the B-cases. In the analysis, de los Reyes et al, present alternative scenarios involving a win lose situation in which case the business is offered an opportunity for profit at the cost society value. To begin with, managers require a norm-taking framework to assist them to distinguish the norms they should follow in B case issues.

This implies identifying the well-established norms to the issue. Nonetheless, this would not be enough. de los Reyes, Scholz, and Smith (2017) assert that managers can face regulatory voids, as indicated in the review of a company where the regulations offered no restrain to constructions. As a result, in case a reason that doubts that the existing normative regime is functional, managers require a norm-making framework. In the objectivity of the article, we indicate how such a combination of framework is meant to work. Analysis of the Two Ethical Frameworks The suggested additions of ethical models are geared towards tackling the B-case issues. According to Henning (2018), lose win and win lose scenario’s they are not of less importance nor rare, “but frequent and mostly critical.

” In this regard, CSV’s illustrated trust that a company will fulfill its moral obligation due to regulatory requirements should not be overlooked. As observed by de los Reyes, Scholz, and Smith, (2017) despite the existence of laws, their enforcement might be lacking which in turn might see corporations to oblige. assert that there are sincere concerns “ that corporate interests cannot and will not provide a sufficient basis for solving the pressing social issues we are facing, despite the promises made by Porter and Kramer. ” In this case, the greatest shortcoming as shown in Exhibit 1, of the CSV model is in the in ability to address ethical and legal concerns in businesses. For instance, the review observation that CSV operates under the assumption that businesses comply with the legal and ethical norms greatly undermines its underpinning since the assumption does not ascertain that a business will comply.