Question

Explain the roles of profits in the business (i)Incentives (ii)survival (iii)Growth (iv)measure of efficiency (v)prestige

Answer 1

Explanation:

Everything you need to know about the objectives of business. The business is an economic institution operating in a socio-economic system.

Therefore, objectives of business should be defined keeping in view its prevailing environment and its needs for survival and growth. Like any other institution business has several rather than a single objective.

Objectives of business are multi-dimensional in nature. Business is established and it exists to achieve multiple objectives.