Earning of profit is considered to be the subsidiary objective of the business.The given statement isa)FALSEb)TRUEc)Cannot sayd)None of theseCorrect answer is option 'A'. Can you explain this answer?

Question

Answer

Earning profit is one of the objective of business..but we should not only look after earning profit but also consumers satisfication....

Answer

Prime objective of business is to earn profit. profit is life blood of any business

Answer

Ya it is false because earning profit is primary objective of business not a subsidiary objective

Answer

Correct answer is A because earning profit is the important objective of every business

Answer

There are two type of organisations first one those whose first objective is to earn profit but some of the organisation are those whose primary objective is to maximise the social welfare

Answer

Earning of profit is considered to be the subsidiary objective of the business.

Explanation:
1. Introduction:
Profit is the financial gain that a business entity makes after deducting all its expenses from its revenue. It is an essential aspect of any business and acts as a measure of its success. However, it is important to note that profit is not the sole objective of a business. There are several other objectives that a business aims to achieve in addition to earning profits.

2. Primary Objective of a Business:
The primary objective of a business is to survive and thrive in the market by providing goods or services that fulfill the needs and wants of its target customers. This objective focuses on the long-term sustainability and growth of the business. Generating profit is a means to achieve this primary objective, but it is not the only objective.

3. Subsidiary Objectives of a Business:
Subsidiary objectives are the secondary goals that support the primary objective of a business. These objectives are necessary for the smooth functioning and overall development of the business. Some common subsidiary objectives include:

a. Maximizing Shareholder Wealth: Businesses often aim to increase the value of their shares and provide a good return on investment to their shareholders. This objective aligns the interests of the shareholders with the success of the business.

b. Providing Quality Products or Services: Customer satisfaction is crucial for the long-term success of a business. Providing high-quality products or services helps in building a strong customer base and maintaining their loyalty.

c. Ensuring Employee Satisfaction: Businesses need to create a positive work environment and ensure the well-being of their employees. Satisfied employees are more motivated and productive, which ultimately contributes to the overall success of the business.

d. Innovation and Continuous Improvement: Businesses need to constantly innovate and improve their products, services, and processes to stay competitive in the market. This objective encourages creativity and adaptability within the organization.

4. Conclusion:
Earning profit is undoubtedly an important aspect of a business, but it is considered a subsidiary objective rather than the primary objective. The primary objective of a business is to fulfill the needs and wants of its customers and ensure its long-term sustainability. Profit is a means to achieve this objective and support the overall growth and development of the business. Therefore, the given statement is FALSE.

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