THE ESSENCE OF THE CONCEPT OF «SOCIAL ESPONSIBILITY» IN ECONOMIC THEORY

Abstract

The scientific approaches to defining the essence of the concept of "social responsibility" have been summarized in the article and its author's interpretation have been proposed. The theoretical and methodological approaches to formulating the concept of "responsibility" and its derivative, "social responsibility," have been examined. A historical retrospective of scholars' views on the understanding of this phenomenon has been provided. It has been noted that social responsibility is based on an individual's responsibility and, in the process of their social activities, acquires a certain focus on achieving economic goals, which are practically specified as the fundamental values regarding the economic-functional purpose of a collective subject of social action. It has been proved that social responsibility plays a key role in the modern world, where business, civil society, and the state collaborate to achieve sustainable development. Thanks to the expanded role of the concept of "social responsibility" in economic theory and practice, it has been concluded that the concept of social responsibility has become an integral part of strategic business management. The author emphasizes that nowadays enterprises have been understanding about not only maximizing profit but also taking into account the social and environmental aspects of their activities. Real socially responsible enterprises contribute to sustainable consumption by offering environmentally friendly products and services and reducing their negative impact on the environment. It has been noticed that socially responsible businesses often invest in social projects such as education, healthcare, and poverty alleviation, contributing to improving the quality of life for the population. The author believes that businesses which prioritize social responsibility often become more competitive in the market by increasing the trust of consumers and investors. It has been proved that social responsibility has become a key tool in achieving sustainable development, taking into account the needs of current generations without compromising the opportunities of future generations. The concept of social responsibility in economic theory reflects the essence and importance of balancing profitability of enterprises with their contribution to social and environmental development. It has been concluded that the development of this concept contributes to the creation of more resilient and equitable economic systems that enjoy the support of consumers, investors, and society as a whole.