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Posted: March 20th, 2017
Read through the below post and provide any on of the following: APA format 300 Words.
Read through the below post and provide any on of the following: APA format 300 Words.
.Ask a probing question, substantiated with additional background information, evidence or research.
· Share an insight from having read your colleagues’ postings, synthesizing the information to provide new perspectives.
· Offer and support an alternative perspective using readings from the classroom or from your own research.
· Validate an idea with your own experience and additional research.
· Make a suggestion based on additional evidence drawn from readings or after synthesizing multiple postings.
“The social responsibility of Business is to increase its profits”
Stockholder Theory
Some believe organizations should channelize their efforts to increase organization’s profits, whereas some believe that organizations have an ethical responsibility toward the environment in which it operates. (Hunsaker, 2018: 2024 – Write My Essay For Me | Essay Writing Service For Your Papers Online )
Milton Friedman’s statement saying “The social responsibility of Business is to increase its profits” depicts a Stockholder/Shareholder theory. (Hunsaker, 2018: 2024 – Write My Essay For Me | Essay Writing Service For Your Papers Online ) Every action taken by the managers should be to increase the profits for stakeholder’s or investors of the organization. Shareholders approve the salary of a corporation’s business managers, who in turn, oversee the corporation’s business managers, who, in turn, are in charge of the corporation’s spending, which should also be in line with the wishes of the shareholders. (Hunsaker, 2018: 2024 – Write My Essay For Me | Essay Writing Service For Your Papers Online )
An antithesis to the Stockholder theory is the “Stakeholder theory”, which states that the organizations respect the interests of its stakeholders such as employees, vendors, customers, creditors etc. Get research paper samples and course-specific study resources under homework for you course hero writing service – Manage rs should consider stakeholders interests while making any decisions. (Hunsaker, 2018: 2024 – Write My Essay For Me | Essay Writing Service For Your Papers Online )
Common misconceptions
1. Stockholder theory is often misunderstood that business managers must do anything to maximize business profits. Anything done by managers should be legal and through non-deceptive measures. (Hunsaker, 2018: 2024 – Write My Essay For Me | Essay Writing Service For Your Papers Online )
2. Stakeholder theory is often misunderstood that profit must be completely disregarded when adhering to this theory. (Hunsaker, 2018: 2024 – Write My Essay For Me | Essay Writing Service For Your Papers Online )
What is your opinion about the aforementioned misconceptions? How can organizations still make profits by following the stakeholder theory?
3. Hunsaker, E. (2018: 2024 – Write My Essay For Me | Essay Writing Service For Your Papers Online , December 10). Stockholder Theory Vs. Stakeholder Theory . Retrieved from bizfluent.com: https://bizfluent.com/info-8483188-stockholder-theory-vs-stakeholder-theory.html
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