social objectives – a business' goals that relate to fair treatment of the people concerned: customers, investors, suppliers or workers

To remember what social objectives means use the following mnemonic:

So shall we make the objective (social objective) that everyone gets a ride of the fairground (to be fair) rollercoaster.

Social objectives in business are goals that a business sets to achieve a positive effect on society, typically the stakeholders of a business (customers, investors, suppliers and workers).

Social objectives can encompass a wide range of initiatives, from charitable donations, to employee diversity, to providing educational opportunities.

Social objectives are important for businesses because they can help to improve the company’s reputation, attract and retain employees, and build relationships with customers and stakeholders. They can also help to make a positive impact on the communities in which the business operates.

There are challenges associated with having social objectives in business, including:

• Cost: Social objectives can sometimes be costly for businesses. This is especially true for businesses that are involved in large-scale initiatives, such as environmental protection or disaster relief.
• Complexity: Social objectives can be complex to implement and manage. This is because they often involve a variety of stakeholders, each with their own interests and priorities.
• Risk: Social objectives can sometimes be risky for businesses. This is because they can lead to negative publicity or backlash if they are not implemented effectively.

An example of a company initiating projects to achieve social objectives is ice cream manufacturer Ben and Jerry’s. They have invested heavily over the years in extensive social objectives. In 1998 the company founded the 1% For Peace project which aimed to raise 1% of the US national defence budget and donate it to peace-promoting activities and organisations. Since 1985, they have donated 7.5% of their annual pre-tax profits to community organisations across the USA, equating to an average of $1.8 million a year.