Question

“If we ignore Friedman’s crystalline perception — that profits are the driving focus — then the

entire mission, good will included, falls apart. When we turn the idea of profit into a callous

slur, as Friedman’s laziest critics often do, we are demeaning the essential propelling force

that enables all these interconnected good works to occur. – Ken Langone” (New York Times

Magazine Excerpt, 2020, p.7)

Q1. Using the ‘business case for sustainability’ (and any other relevant theory from the

subject), explain how businesses can change perceptions of profits as a ‘callous slur’ in

the context of sustainability. (500 Words)

Answer 1

Business case for sustainability:

Sustainable business is a term that is used to upgrade a business growth. It is an important business tool for long-term as well as short term development.

Sustainable business growth increases the number of participants, and the business as a whole. Stability management focuses not only on economic appearance, but also on socio-economic and technological factors.

The following four points shows the business case Sustainability:-

Financial vision

Customer Vision

Internal business vision

Training and Development / Learning and Growth Vision.

All of these financial and non-financial indicators help the business to become more resilient.

In order to be sustainable, a business must be:

have a clear strategic direction.

be able to scan the environment or context to identify job opportunities.

be able to attract, manage and retain skilled workers.

have adequate administrative and financial infrastructure.

be able to demonstrate its effectiveness and impact so that it can use other resources.

have received community support and involvement in their work.

The business case for sustainability aims and sees economic success by focusing on financial and non-financial aspects. There are certain non-economic factors that an entity must consider in order to achieve the full purpose of the business. A performance measure that focuses on both financial and non-economic measures is the Balance Scorecard. It sets out four key areas where the business environment is measured in terms of long-term and short-term needs rather than focusing on profit alone.