NCERT Solutions for Class 11 Business Studies – Chapter 6 – Social Responsibilities of Business and Business Ethics

NCERT Solutions for Class 11 Business Studies Chapter 6 by Extramarks include detailed answers to the questions given in NCERT Chapter 6 textbook. These resources can be accessed and used by students for their preparations and for getting an idea of how they should structure their answers in the final exams. The solutions are prepared by subject matter experts, include detailed explanations with proper examples and diagrams wherever required, and are written in an  easy-to-understand language.

Class 11 NCERT Solutions Business Studies – Chapter 6

In order to ace their final exams, Students must attempt all the questions given at the end of chapters of their NCERT textbooks because most of the time, questions asked in final exams are similar in nature to the questions given in NCERT textbooks. For reference, students can use the solutions prepared by Extramarks.

NCERT Solution For Class 11 Business Studies Chapter 6 – Social Responsibilities of Business and Business Ethics 

Chapter 6 of Class 11 Business Studies NCERT textbook discusses the social responsibilities of businesses. It talks about how businesses should not just focus on maximising profits but also consider the impact of their decisions on the society at large and on other stakeholders in the company including their employees, customers, suppliers, etc. The important topics covered in the chapter include Corporate Social Responsibility (CSR), the arguments for social responsibility, kinds of social responsibility, the impact of businesses on the environment, and Business ethics.

Business Ethics

Company ethics is the knowledge of suitable business tactics and practises concerning potentially controversial problems, such as corporate governance, internal trading, discrimination, CSR, and fiduciary obligations, according to Class 11 Business Studies Chapter 6 answers. Commercial ethics provide a basic guideline that companies might prefer to follow to gain public favour. The law normally guides business integrity, but at times business ethics provide a basic guideline that firms can prefer to follow to gain public approval.

Business ethics ensures that customers and other market participants have a fundamental degree of confidence in businesses. A portfolio manager, for example, must evaluate the portfolios of family members and small individual investors in the same way. These types of procedures ensure that the general population is treated fairly.

The concept of business ethics emerged in the 1960s, when businesses grew more conscious of a growing consumer-based culture that expressed concerns about the environment, social issues, and corporate responsibility.

The last ten years have been marked by a greater emphasis on so-called social issues. The concept of corporate ethics has evolved since that time. Business ethics is more than just an ethical notion of right and wrong; it aims to reconcile what corporations must do legally with maintaining a competitive advantage over competitors.

Social Responsibilities of Businesses

The term “corporate social responsibility” refers to a company’s management’s obligations to protect society’s interests. The NCERT solutions to Chapter 6 of Class 11 Business Studies explains how, according to the concept of social responsibility, managers’ goal in making business decisions isn’t just to maximise profits or shareholder value, but also to serve and protect the interests of other members of society such as workers, consumers, and the community as a whole. It should be mentioned that certain Indian sociologists and economists link the Gandhian concept of trusteeship to the concept of social responsibility in business.

In accordance with Gandhi, the capitalist class holds money or capital as trustees of the society, according to Class 11 Business Studies Chapter 6. According to him, the resources and capital they utilise to produce products and services should not be used to maximise profits for individuals, but rather for the greater good of society.

How can Extramarks guide you with NCERT Solutions?

The solutions provided by Extramarks are prepared by subject matter experts, which is why students can rely on the accuracy of these answers. With Extramarks solutions, students will be able to better prepare themselves for final exams and these solutions will also help them in grasping the concepts covered in the chapters better through detailed answers provided. The solutions are written in easy to understand language and have been prepared keeping in mind CBSE guidelines and best practices for writing answers. This will help students understand how to better frame their answers in final exams.

Concepts covered in this chapter –

  • Social Responsibility
  • Need for social responsibilities
  • The case against social responsibility
  • Reality of social responsibility
  • Kinds of social responsibilities
  • Social responsibility towards different interest groups
  • Business and environment pollution
  • Role of business in environmental protection
  • Business ethics
  • Elements of business ethics

Solved Examples

Social Responsibility of Business is

  1. Similar to legal responsibility
  2. Broader than legal responsibility
  3. Narrower than legal responsibility
  4. None of the above

Solution: (b) Broader than legal responsibility

  1. If a Company Is to Work in a Society Which Is Filled With Diverse and Complex Problems, It’s Going to Have
  1. Little chance of success
  2. Great chance of success
  3. Little chance of failure
  4. No relation with success or failure

Solution: (a) Little chance of success

FAQs (Frequently Asked Questions)

Following are some of the ethics that a business should follow with a consumer:

  • They should provide consumers with reasonable goods or services rather than attempting to exploit them by forming cartels. It is frequently more applicable in instances where businesses produce necessary goods such as life-saving medications and edible oil, as well as critical services such as energy and telephone services.
  • They should not provide poor and dangerous products to their customers that can injure them.
  • They should not deceive customers with improper, misleading, or false advertisements.
  • They should respect consumers’ right to be heard and take the necessary steps to address their legitimate complaints.

By visiting  Extramarks’ site or application , you can quickly obtain NCERT Solutions for Class 11 Business Studies Chapter 6 . Because the solutions  are up-to-date, easy to grasp, crisp, clear, and error-free, this is a great resource for students. 

A company’s social responsibility refers to its obligations to society’s members as a result of its participation in activities that promote social welfare. Every business makes use of society’s resources; therefore, it is its responsibility to contribute back to society by increasing job opportunities (particularly for women and disadvantaged groups) and improving economic well-being. In the sense that businesses should follow the law and not engage in criminal actions, their legal responsibilities differ from their social responsibilities.

  • To take proper actions to reduce pollution and embrace environmentally friendly technologies.
  • To create sufficient work possibilities in order to contribute to the decrease of poverty in the country.
  • Workers’ and other employees’ rights must be respected, and suitable measures must be taken to ensure their safety and improve their working circumstances.
  • To provide its employees with high-quality healthcare.
  • To invest appropriately in research & development in order to produce new products and increase productivity.
  • Excessive salary for promoters and top executives is counterproductive since it breeds social animosity.
  • To put an end to cartels that keep prices artificially high.

Business ethics refers to the values and moral principles of conduct that a company must adhere to in order to be socially acceptable. A sense of commitment from top management is the first ingredient of business ethics. The establishment of a code to enhance the smooth and orderly operation of a firm is the second factor. The implementation of a compliance mechanism is the third principle. The fourth aspect emphasises the importance of employee involvement at all levels of a company. Measuring results is the fifth and last part of business ethics.

The chapter covers how a company should adopt cleaner technologies and abandon obsolete technology because it generates hazardous chemicals that are not only harmful to the environment but also can cause respiratory illness, cancer, lung and renal disorders, and other ailments in personnel. To be more socially responsible and ecologically conscious, a corporation should also implement pollution control methods. Using clean technology will also assist the organisation in lowering the operating costs associated with keeping the environment clean.

The chapter highlights the many methods that a company can take to protect the environment from pollution hazards. A business’s senior management and leadership must encourage a sustainable and environmentally friendly work culture. Employees should also take the initiative to foster, maintain, and build an environmental awareness and protection attitude. Businesses can take a proactive role in organising workshops, seminars, meetings, and presentations to raise awareness about the need for environmental protection.