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5.

dischargee

e.

money support

6.

financial cushion

f.

a person who has been fired

7.

layoff

g.

a company behaving in an ethical and responsible manner

8.

heavy burden

h.

to encourage the development and growth of something

9.

recycling

i.

an act of making a lot of employees redundant

10.

blunder

j.

in a good condition

3. Reading

Reading 13.1.

Read the text “Corporate Philanthropy” and answer these questions.

1.What is corporate philanthropy?

2.Can you give your own examples of big companies’ financial contributions to community?

Corporate Philanthropy

Company financial contributions to community and national social programs and institutions are closely related to community relations. The campaign to balance the federal budget, with resulting cutbacks in government contributions to many programs, has put pressure on corporations to increase their philanthropy. The Independent Sector, a coalition of non-profit foundations and charities, estimates that charitable organizations nationwide depend on the government for about 29 percent of their income.

Many corporations follow a policy of “enlightened self-interest” in their giving. That is, they select the charitable institutions they will support, and the forms of support to offer that will assist company goals and objectives.

Hewlett-Packard*, for example, is a manufacturer of computers, medical equipment, and test equipment. Product gifts account for most of its philanthropy. The company’s philosophy is simply stated: “HP giving to college and universities meets university needs for products while attracting highly skilled workers to the industries we support.”

On the other hand, Philip Morris uses philanthropy for constituency-building and generating favorable perceptions among opinion leaders. The giant beer, tobacco, and food conglomerate donated more than $17 million in one recent year to schools, hospitals, cultural organizations, and charity groups. Many of these funds, activist critics say, were targeted to

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minority organizations that might help defeat tax and antismoking bills. In other words, corporate giving is based on where there might be political benefit.

American corporations in 1998 contributed $9 billion to philanthropic organizations, according to the American Association of Fund-Raising Counsel (AAFRC). This represents 5.1 percent of the total $175 billion in contributions reported by the AAFRC.

(Wilcox, Dennis L., et al. Essentials of Public Relations. New York: Longman., 2001. P. 251)

Notes

The Hewlett – Packard Company is the world’s largest information technology corporation (by revenue) and is known worldwide for its printers, personal computers, high-end servers, and network management software. The company refers to itself and is commonly known as “HP” but is referred to as “H-P” or H.P. by media outlets such as the Wall Street Journal and the New York Times.

Headquartered in Palo Alto, California, United States, it has a global presence in the fields of computing, printing, and digital imaging, ansd also provides software and services.

(“Wall Street Journal” Wikipedia. 07 Nov. 2007. 07 Nov. 2007 <http://en.wikipedia.org/wiki/Hewlett-Packard.>)

Altria Group, Inc (previously named Philip Morris Companies Inc.) based in new York City, is the parent company of Philip Morris International, Philip Morris USA and Philip Morris Capital Corporation, and is one of the world’s largest tobacco corporations. In addition, Altria Group, Inc. has a 28.7% economic and voting interest in one of the world’s largest brewing companies, UK based SABMiller plc. It is component of the Dow Jones Industrial Average and S&P 500

(“Wall Street Journal.” Wikipedia. 07 Nov. 2007. 07 Nov. 2007 <http://en.wikipedia.org/wiki/Philip_Morris.>)

Ralph Nader (born February 27, 1934) is an American attorney and political activist in the areas of consumer rights, humanitarianism, environmentalism and democratic government. Nader has been a staunch critic of corporations, which he believes wield too much power and are undermining the fundamental American values of democracy and human rights.

(“Wall Street Journal” Wikipedia. 07 Nov. 2007. 07 Nov 2007 <http://en.wikipedia.org/wiki/Ralph_Nader.>)

Reading 13.2.

Read the text “Use of Boycotts” and answer these questions.

1. What does the term “boycott” mean?

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