Corporation as a ‘Moral person’

Corporations are legal entities that are formed to conduct business activities. In recent times, there has been a growing interest in the concept of corporations as 'moral persons' - entities that are not just profit-seeking but also have a responsibility to act ethically and in the interests of society. This has led to the development of the concept of Corporate Social Responsibility (CSR), which refers to the idea that corporations have a responsibility to consider the impact of their actions on society and the environment, in addition to maximizing profits for shareholders.

The concept of corporations as moral persons has emerged as a response to the increasing power and influence of corporations in society. As corporations have grown in size and complexity, they have come to play a significant role in shaping economic, social, and political outcomes. This has led to calls for corporations to act more responsibly and to consider the wider impact of their actions on society.

From a societal perspective, there are certain expectations that are placed on corporations. These include expectations related to ethical behavior, environmental stewardship, and social impact. For example, corporations are expected to operate in a manner that is transparent and ethical, avoiding activities that harm society or the environment. They are also expected to contribute positively to society by creating jobs, paying taxes, and engaging in philanthropic activities.

In addition to these societal expectations, there are also legal and regulatory expectations placed on corporations. These expectations are designed to ensure that corporations operate in a manner that is consistent with the public interest. For example, corporations are required to comply with laws related to environmental protection, labor rights, and consumer protection.

In conclusion, the concept of corporations as moral persons is an important development in the field of business ethics. It recognizes that corporations have a responsibility to act in a socially responsible manner and to consider the wider impact of their actions on society. By meeting these expectations, corporations can build trust with their stakeholders and contribute to a more sustainable and equitable society.