Climate Change: Corporate Social Responsibility

1. Introduction:

In recent year, fighting climate change is a one of pivotal issues which require an interference from variety aspect in society, not merely a responsibility of government but also mandate of businesses. To defend a substanable growth of the business, taking care of stakeholder’s right should be paid attention, especially energy companies which directly integrate with government, community and environmental issue. A corporation is likely to obtain several perquisites throughout treats in a socially responsible manner, among them: the elevation of financial achievement and the mitigation of operating costs; the enrichment of the organization image and reputation; the upgrade of customer loyalty and sale (cited in Ciliberty, Baden and Harwood, 2011). BP is a global oil and gas company, supplying its clients with fuel for transportation, power for heat and light, retail services and petrochemicals products for everyday items (BP.com website). They have approximately 79 700 employees, reach over 80 countries in 2010 and revenue of BP corporation in 2010 is 297,107 million dollars (BP annual report, 2010) and each share of BP costs about 41,92 dollar ( Nasdaq.com website, 2011). They are a one of leader international company in global oil and gas industry, hence, these activities associate with environmental matter always are paid attention. Each year, they spend more than 1 billion dollars on alternative energy development (BP annual report, 2010). However, the expansion of BP operation in 2010 had lead to extremely awful consequence for nature which is an oil spill in the Gulf of Mexico. This event cause the death of 11 workers, injured of 17 others and lost of over 3 billions dollar to deal with it (ibid). In t...

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... but also their reputation in the long-term and the trust of communities where they are operating. Therefore, the effectiveness of protecting environments will assists the operation increase their value, obtain the trust of market and tend to the sustainable development for both corporation and community.

On the other hand, the responsibitility of protecting environment not only impose on the business but also is a duty of the government. The expansion of business units make the increase of competition within these industry and the company need to reform their technology and minimize the cost of product, hence, it lead to cut down environment budget. Therefore, the goverment must to build up the restricted rule to business operation in order to observe and guarantee the right and the duty of the business as well as enhance the living standard of their citizen.