objective of business Related: Chapter Notes - Nature and Purpose of Business?

Question

objective of business Related:  Chapter Notes - Nature and Purpose of Business?

Answer

OBJECTIVE :- it is the end result of all the activities of the business.

There are three objectives of the business.
1). SURVIVAL
2). PROFIT
3). GROWTH

Answer

The goal of business .The Primary purpose of business is to maximize profit for  it's owners and stakeholders while maintaining corporate social responsibility....

Answer

Objective of Business: Chapter Notes - Nature and Purpose of Business

Introduction:
Business is an economic activity that involves the production, distribution, and exchange of goods and services to satisfy the needs and wants of customers. The primary objective of any business is to earn profits. However, apart from profit-making, businesses also serve several other objectives.

I. Economic Objectives:
1. Profit Maximization: The primary objective of most businesses is to maximize profits. Profit is essential for the survival and growth of a business. It allows the business to invest in research and development, expand operations, and reward stakeholders.

2. Wealth Creation: Business plays a crucial role in creating wealth in society. By generating employment opportunities, businesses help in improving the standard of living and reducing poverty.

3. Growth and Expansion: Businesses aim to grow and expand their operations to tap into new markets, increase market share, and enhance profitability. Expansion can be achieved through diversification, mergers, acquisitions, and strategic alliances.

4. Innovation and Research: Businesses focus on innovation and research to develop new products, improve existing products, and stay competitive in the market. Innovation helps in meeting customer needs and preferences effectively.

II. Social Objectives:
1. Customer Satisfaction: Businesses strive to provide quality products and services to ensure customer satisfaction. Satisfied customers are more likely to become repeat customers and recommend the business to others.

2. Employee Welfare: Businesses are responsible for the welfare of their employees. Providing a safe working environment, fair wages, job security, and opportunities for growth and development are some ways businesses fulfill their social responsibility towards employees.

3. Environmental Sustainability: In today's world, businesses are increasingly adopting sustainable practices to minimize their negative impact on the environment. They aim to reduce waste, conserve resources, and promote eco-friendly technologies.

4. Corporate Social Responsibility: Many businesses engage in philanthropic activities and contribute to the well-being of society. They may support social causes, donate to charities, and participate in community development programs.

III. Personal Objectives:
1. Entrepreneurial Satisfaction: Business owners and entrepreneurs derive satisfaction from successfully running and growing their businesses. The achievement of personal goals, such as financial independence and recognition, can also be a motivating factor.

2. Personal Growth and Development: Business provides individuals with opportunities to learn and develop new skills. It allows them to gain knowledge in various aspects of management, finance, marketing, and operations.

Conclusion:
While profit-making is a fundamental objective of business, it is essential to recognize that businesses have broader objectives beyond financial gains. They aim to create value for customers, employees, shareholders, and society as a whole. By aligning economic, social, and personal objectives, businesses can contribute to sustainable development and overall well-being.

Answer

Profit

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