, MRL2601 Assignment 2 (COMPLETE ANSWERS) Semester 2 2025 – DUE
SEPTEMBER 2025; 100% CORRECT AND TRUSTED SOLUTIONS
Question 1
Explain what the principle of corporate social responsibility entails and
provide examples of how this principle is reflected in the Companies Act 71 of
2008.
(10 marks)
1. Definition and Explanation of Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) refers to the ethical obligation of
companies to conduct their business in a way that is socially responsible,
economically viable, and environmentally sustainable. CSR goes beyond profit-
making and compliance with laws—it includes proactive efforts to promote social
good, environmental stewardship, fair labour practices, and sustainable
development.
CSR encourages businesses to take accountability for the effects of their operations
on stakeholders, including employees, consumers, communities, and the
environment. In essence, it reflects the idea that companies have a duty not just to
shareholders, but to society at large.
2. The Principle of CSR in the South African Context
In South Africa, CSR has a particular significance due to the country’s historical
inequalities, socio-economic disparities, and developmental needs. Businesses are
increasingly expected to contribute to national goals such as poverty reduction,
education, healthcare access, and environmental protection.
The Companies Act 71 of 2008 reflects a shift from a purely shareholder-centric
model of governance to a more stakeholder-inclusive model, aligning with the
principles of CSR and the broader objectives of good corporate citizenship.
3. Reflection of CSR in the Companies Act 71 of 2008
SEPTEMBER 2025; 100% CORRECT AND TRUSTED SOLUTIONS
Question 1
Explain what the principle of corporate social responsibility entails and
provide examples of how this principle is reflected in the Companies Act 71 of
2008.
(10 marks)
1. Definition and Explanation of Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) refers to the ethical obligation of
companies to conduct their business in a way that is socially responsible,
economically viable, and environmentally sustainable. CSR goes beyond profit-
making and compliance with laws—it includes proactive efforts to promote social
good, environmental stewardship, fair labour practices, and sustainable
development.
CSR encourages businesses to take accountability for the effects of their operations
on stakeholders, including employees, consumers, communities, and the
environment. In essence, it reflects the idea that companies have a duty not just to
shareholders, but to society at large.
2. The Principle of CSR in the South African Context
In South Africa, CSR has a particular significance due to the country’s historical
inequalities, socio-economic disparities, and developmental needs. Businesses are
increasingly expected to contribute to national goals such as poverty reduction,
education, healthcare access, and environmental protection.
The Companies Act 71 of 2008 reflects a shift from a purely shareholder-centric
model of governance to a more stakeholder-inclusive model, aligning with the
principles of CSR and the broader objectives of good corporate citizenship.
3. Reflection of CSR in the Companies Act 71 of 2008
