Substantial balance of trade deficit and a weakening economy

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There is currently a global recession and the country of Cranmoor is facing mounting difficulties including a substantial balance of trade deficit and a weakening economy. The new Government has promised to be 'financially prudent, ethical, and prepared to listen to and be protective of all stakeholder groups in society'.

The Government recently met with some leaders of business and commerce where a number of issues were discussed. Business leaders expressed the view that there needs to be less Government regulation and a greater focus instead on dealing with the economy. The Government in return responded by saying that business needs to act more responsibly and that 'good corporate social responsibility (CSR) is good for society, good for business and good for the human resource policies of individual businesses. The Government claimed that without good CSR a number of stakeholder groups within society may feel isolated and vulnerable.

Discuss the validity of the view expressed by the business leaders that Cranmoor's Government should regulate less and concentrate on dealing with economic matters.

Reference no: EM13729794

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