Login

"Profit is not the sole objective of business". Explain?

Solution:

Although the main objective of business is to earn profit but it is not be the sole objective of business. Business has many other objectives to accomplish. Objectives to be fulfilled by business other that profits are:

1. Quality goods and Services at Reasonable Prices:- A business has to provide quality goods and services at reasonable price. The price of goods and services should not be too high. A business should add reasonable profit to the cost of goods and services.

2. Generation of Employment and providing good working condition:- It must be the prime objective of business to create employment opportunities and good working condition to be provided to the employees in the organisation which help in accomplishment of business goal in efficient manner.

3. Avoid Unfair Trade Practices:- A business must avoid unfair trade practices. It include adulteration, making false claim in advertisement and many others. It should be the objective of business to earn profit with fair trade practices.

4. Swachh Bharat:- Business objective include contribution of business towards Swachh Bharat. A business should take every care in making the country pollution free.

5. Payment of Taxes:- A business organisation should pay tax honestly. 

  • 28
View Full Answer
 Too much emphasis on profit to the exclusion of other objectives can be dangerous for good business. Obsessed with profit business managers may neglect all other responsibilities towards customers, employees, investors and society at large. They may even be inclined to exploit various sections of society to earn immediate profit. This may result in the non-cooperation or even opposition from the affected people against the malpractices of business enterprises. The enterprises might lose business and may be unable to earn profit. That is the reason why there is hardly any sizable business enterprise whose only objective is maximisation of profit. That is the reason why profit is not the sole objective of business.
  • 7
U must have an confusion...because when we think to start an enterprise...we think about the.profit...not the sale.neither loss...only.the one thing tht is in our mind is profit....so basically.we strt the bussiness.for earning the profit as much as we can..in the mean while if there is not any profit coming..or u don't want to earn it.by doing some socail services....so we cannot call it a bussiness....so whenever we talk about bussiness.there must be some profit.otherwise it is not an bussiness....
  • 0
First motive of business to run it successfully then it moves to profit and mental satisfaction.
  • -3
What are you looking for?