Question

In: Operations Management

According to Milton Friedman, what is the responsibility of corporate executives?

According to Milton Friedman, what is the responsibility of corporate executives? What ethical responsibilities does Friedman say businesses have to society?


Solutions

Expert Solution

Milton Friedman stated that the responsibility of corporate executives is to use the organization’s resources and carry out activities to increase profits, within the legal and regulatory framework. He believed in complete capitalism. He was of the opinion that business activities should solely focus on profit generation. Businesses should not invest in any kind of social charitable activities that do not generate revenue. According to him, shareholders have no say in such activities and investing in social activities is a misappropriate use of corporate fund

keosha answered 2 years ago
Next > < Previous

Related Solutions

How does Milton Friedman understand corporate social responsibility and what is his position in regard to...
How does Milton Friedman understand corporate social responsibility and what is his position in regard to it?
1. (a) According to Milton Friedman; "The Social Responsibility of Business is to increase its profits."...
1. (a) According to Milton Friedman; "The Social Responsibility of Business is to increase its profits." Do you agree with this proposition? B. Analyze four (4) justification for businesses engaging in corporate social responsibilities.
Milton Friedman takes the position that business corporations have no corporate responsibility of any sort except...
Milton Friedman takes the position that business corporations have no corporate responsibility of any sort except to obey the law and make as much profit as the law allows for its shareholders . Explain how his position might be ethically justified under a theory studied in this section of our course : b . Suppose a corporation had the opportunity to move its 10, 000man manufacturing jobs from Louisville to Bangladesh and thereby sharply reduce its overhead by paying substantially...
Milton Friedman: States that there is only one social responsibility that organizations have and that is...
Milton Friedman: States that there is only one social responsibility that organizations have and that is to use its resources and engage in activities designed to increase profits. Therefore, there is no need for corporate social responsibility as the organizations main goal is profit- making. With this view organizations have four responsibilities. Discuss the four responsibilities in their orders.
Milton Friedman: States that there is only one social responsibility that organizations have and that is...
Milton Friedman: States that there is only one social responsibility that organizations have and that is to use its resources and engage in activities designed to increase profits. therefore, there is no need for corporate social responsibility as the organizations main goal is profit-making. with the above, organizations have four responsiblilities. 1. Discuss at least four responsibilities. 2. Discuss at least four major factors that influence consumer buying behaviour. NB: insert reference
Milton Friedman: States that there is only one social responsibility that organizations have and that is...
Milton Friedman: States that there is only one social responsibility that organizations have and that is to use its resources and engage in activities designed to increase profits. Therefore, there is no need for corporate social responsibility as the organizations main goal is profitmaking. With the above organizations have four responsibilities. 1. Discuss at least four responsibilities. 2. Discuss at least four major factors that influence consumer buying Behaviour.
According to Friedman Milton on his essay "The Role of Monetary Policy" 1. What is monetary...
According to Friedman Milton on his essay "The Role of Monetary Policy" 1. What is monetary policy? 2. Why can't monetary policy peg interest rates and the rate of unemployment for more than very limited time periods (long run) 3. What can the monetary policy do? 4. Explain the effects of rising income (liquidity preference schedule, demand for loans, prices) 5. What is the relationship between interest rates and the quantity of money 6. What is the similarity between Wicksell's...
Milton Friedman captioned his famous New York Times article as the ‘social responsibility of a business...
Milton Friedman captioned his famous New York Times article as the ‘social responsibility of a business is to increase its profits’ (New York Times, September 13, 1970). Required Critically evaluate the above statement explaining the importance of corporate social responsibility in light of agency theory and stakeholder theory.
Is milton friedman still relevant in 2018
Is milton friedman still relevant in 2018
summary on the power of the market by milton friedman
summary on the power of the market by milton friedman
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT