Question

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

Answer 1

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. 

Answer 2

Profit is essential for the survival of any business enterprise. A business enterprise must earn profit to run his business. But profit is not the sole object of earning profit. " Stability and goodwill of business are more important as compared to earning maximum of profits . "