Sample Business Studies Essays On Business’s Responsibility

Homework Question on Business’s Responsibility Is to Produce Profit

  • 500 words
  • 5 paragraphs ( two paragraphs for & two paragraphs against)the fifth paragraph showing to what extent you agree with the statement -business’s responsibility is to produce profit-
  • Harvard style referencing

Homework Answer on Business’s Responsibility Is to Produce Profit

The success of any business is measured by how much profit it produces in a given period, hence increasing profit is the main responsibility of business. It is quite hard for a business to remain competitive without making profit. When individuals or shareholders contribute their capital, they expect that their capital will be put into productive use to make profit. The more the business is capable of producing attractive profit, the better the chance it has to attract investors.

In addition, the capacity to borrow money for business expansion will mainly depend on how much the business is earning as profit, and the ability to repay its debts. Growth is an economic objective that stakeholders look forward to in a business (Fernando, A. 2002, 281). No growth can be realized without making profit, thus, business has a responsibility to ensure that it operates at a profit to facilitate growth.Businesses have to focus on maximizing their profit to enhance societal needs.

Homework Help

In the theory of profit maximization, when business entities design their goal to profit making, they enable resources to flow towards where the society requires them most (Miller, R 2015, 31). Business people usually start businesses where they are assured of consumers to purchase their products.  High demand encourages investment on products that customers demand in large number. Most business owners aspire to expand into a corporate or entrepreneurs, who can invest even in other countries. Such expansion can only be assured by the amount that the business accumulates in a given time.