The extent of fulfilling social responsibilities by the entrepreneurs towards various sections of the society or lapse therein. It is relevant to study the reasons or challenges or hurdles, In the way of fulfillment of various social responsibilities by the entrepreneurs.
Challenges in Way of Social Responsibilities of Entrepreneurs
Following are the major challenges in the way of social responsibilities of entrepreneurs:
1. Administrative Challenges
- Administrative and legal delays
- Corruptions and complications of government departments.
- Multiplicity and complications of laws, rules, acts, regulations and their violations.
- Lack of administrative efficiency, intelligence, dedication and willpower and dominance of partisan attitudes.
- Obstacles in the fulfillment of responsibilities due to frequent changes in commercial policies, licensing policies, export-import policies, pricing policies, permit policies, etc.
2. Organizational Challenges
- Lack of experiments for scientific, technical and research innovations, required for the expansion of business activities and improvements in marketing.
- Mutually opposing activities by organizations having different objectives and concepts. Similarly, the existence of several business associations and chambers of commerce with conflicting objectives also poses hurdles.
- Groups among owners, shareholders, and partners. Allegation and counter-allegations on each other by each group, on the emergence of class war-like situations in establishments, like companies, etc.
- Due to the mutual rivalry between management and workers, they try to get the victory on each other. As a result, they do not have a cordial mutual relationship.
- Mutual Dialogue does not take place between the management and the workers, and hence the entrepreneurs are not able to know, what facilities are actually required by the workers.
3. Economic Challenges
- Reliable data are not available for production and consumption.
- Frequent changes in commercial policies, by the government.
- Lack of good relations between the private and public sector, due to the formulation of impractical plans.
- The existence of a monopoly in business.
- Rehabilitation of business due to rapid technological changes in the country.
- Diversion towards scientific management, modernization, and automation.
4. Political Challenges
- Lack of consensus between the government and associations of industries and commerce.
- Political partialities in the determination of economic targets, policies, systems, and laws.
- Unnecessary interference by political parties in trade unions and their activities.
- Deliberate the creation of an anti-business atmosphere to vitiate social and law and order situations.
- Instigation of workers by political parties for indulgence destructive activities.
5. Emotional Challenges
- The tendency of an entrepreneur to earn maximum profits.
- Lack of education and training among managers and workers.
- Feelings of casteism, bilingualism, and regionalism among entrepreneurs.
- the tendency of entrepreneurs to keep secrecy on several issues.
- Low feelings of social responsibility among entrepreneurs.
Thus, Now you know the obstacles in the way of assuming social responsibilities by the entrepreneur.