Authentic Leadership Development Research Paper

Real Leadership Development - Research Paper Example The vast majority would not offer the sort of duty that a real chief is relied upon to offer. A decent pioneer ought to have the option to fuse great frameworks that can be trailed by representatives in a way that is good and simple to follow. The pioneer ought to likewise guarantee that the approaches of an organization are advantageous in a way that the vast majority would be agreeable and the vast majority would expand their yield from the accessible condition and strategies. Administration that is legitimate ordinarily requires an individual to be the exemplification of the progressions that might be normal in the organization or the progressions that are normal in the condition that an individual is living. Valid authority for the most part includes doing things that are correct and simultaneously practicing lowliness that is normal when remain with individuals that are not over the pioneers. A pioneer that is credible won't be reluctant to roll their sleeves so as to get hands grimy. Such an individual as a rule has the boldness that would permit him to drop their qualities regardless of anything. A credible pioneer is one that is happy to make a move that is correct even in a circumstance whereby he faces decent variety that is outrageous. A pioneer that is autonomous ought to be focused on development that is close to home, advancement and change. This might be alluded to as private triumph. The triumphs are typically engaged at improvement and development that is close to home. This sort of administration for the most part characterizes who an individual is, his qualities and the manner in which such an individual would respond to the earth around the person in question. There are three components that would assist an individual with succeeding autonomously. They incorporate; Been proactive-an individual ought to be eager to acknowledge duty regarding the activities and any sort of reactions that may collect from the individuals that are around you. An individual has the ability to pick the way that the person in question can picked and that suggests that the foundation of the individual doesn't need to influence the

Validity and Reliability; Which is More Important in Today's High Research Paper

Legitimacy and Reliability; Which is More Important in Today's High Stakes Testing - Research Paper Example While high-stakes testing may return comparable results in the trial of various understudies, which is a component of dependability, one may ponder whether it is unwavering quality that America actually needs. In such manner, it is important to analyze the legitimacy, where this paper recommends that legitimacy is progressively significant most definitely. Legitimacy has been characterized as the degree to which a test estimates what it is intended to gauge. In the event that a test is legitimate, it quantifies precisely what it is intended to gauge as simply as not to, by some coincidence, impact some other components. With legitimacy, center isn't definitely around the scores estimated, however on the derivations that one can reason from the instruments. In that capacity, the deductions produced using a legitimate test should be â€Å"suitable, significant, and useful† (Lang and Wilkerson, 2008). This is the perplexing connection that reveals clean insight into the reasonable qualification among legitimacy and dependability. As it were, as one would derive, it is workable for a testing instrument to gauge something separated from the build that it should quantify, and do it dependably. Then again, a measure that isn't solid can never be supposed to be legitimate. In this light, unwavering quality is very vital a measure, however it is very insufficient comparable to legitimacy †a legitimate instrument, along these lines, must be solid, which a dependable instrument doesn't need to be substantial. In testing, it is a typical understanding that dependent on the previously mentioned relationship, infringement of legitimacy are required to have increasingly serious effects, when contrasted with unwavering quality. One would, consequently, concur that legitimacy is increasingly perplexing and significant an instrument that unwavering quality and is less comprehended contrasted with the last mentioned. Moreover, it can't be validated by any one measurement. Having referenced that, it is imperative to talk about the significant

Evaluating E-Commerce Strategy Development within Organisations Essay Example for Free

Assessing E-Commerce Strategy Development inside Organizations Essay Foundation The report about the â€Å"New Economy† has activated numerous innovative dares to misuse on the electronic business (web based business) openings. Adventures, for example, Amazon and eBay have gotten huge media consideration and speculator confidence about the capability of online business. Since the smoke has settled, both administration and scholarly research have gotten intrigued on the effect of online business on those organizations that have enhanced their physical outlets with internet business activities. A few investigates have developed on impact of web based business on authoritative technique. Tapscott et al (1998) examines the hierarchical changes made by B2B internet business and the advantages of sending online business inside the association. O’Connell (2000) talks about the impact of online business in the authoritative structure considering the asset based view and exchange cost hypothesis. Web based business has been viewed as improving productivity, correspondence and bringing down expenses across business forms (O’Connell, 2000; Krovi et al., 2003; Garicano and Kaplan, 2001). What's more, inquires about have additionally indicated the impact of internet business on brand the board. Wind Mahajan (2001). talk about how the serious condition is changing with the expanding number of Internet clients and how the new innovation is reclassifying the commercial center. The examination introduced an applied structure outlining the drivers and results of showcasing procedure with regards to contending in both physical and electronic commercial center. Some portion of the development of electronic commercial center is the capacity of associations to offer exceptionally modified items to shoppers, and the ability to assemble and to oversee client connections (Brown, 2000). The point of the exploration is to research the manner by which an association builds up its electronic trade procedure after some time considering existing vital methodologies and improvement found inside related writing. The examination especially investigates Marks Spencer web based business technique as the contextual investigation for the exploration. The examination investigates how Marks Spencer has created and executed its online business technique. Drawing from vital administration hypotheses, the examination explicitly centers around the how an online business system is grounded on decreasing exchange cost inside the association and over the worth chain. Moreover, the examination likewise investigates the significance of relationship showcasing and how internet business is furnishing associations with the fundamental innovation to accomplish consistent trade of data and diminished expenses. Deliberately, the appropriation of web based business inside an association depends on these two significant key administration hypotheses. What's more, the exploration is restricted to the business-to-shopper (B2C) advertise, since business-to-business (B2B) relations are as often as possible portrayed by few clients and a solid accentuation on close to home contacts among clients and sales reps as their methods for showcasing correspondence. In this way, the exploration centers around how purchasers see their shopping experience inside an online business website, especially Marks Spencer. The Overview of the Study  â â â â â â â â â â The rest of this investigation is as following explanation:  â â â â â â â â â â Chapter 2, Literature Review, will give a succinct idea and clarification of electronic business inside retail association. The survey of related writing talks about the idea and application regions of online business inside association. The survey will likewise handle the significant vital administration ideas, for example, exchange cost hypothesis and relationship advertising and how online business is empowering associations accomplish expanded proficiency, improved correspondence, and lower costs over its worth chain. Section 3, Methodology, will portray the examination plan of this investigation. The examination plan of this investigation is experimental research technique utilizing optional information for quantitative examination. Part 4, Results, will exhibit the aftereffects of this study.â from the start, the graphic factual information, for example, greatest, least and mean, on the consumer’s viewpoint on the diverse assistance traits of web based business website for Marks and Spencer. Part 5, Summary, Conclusion and Recommendations, the â€Å"Summary† area will initially give a complete outline of the significant discoveries of this examination. The â€Å"Conclusion† area will feature the ramifications of the exploration discoveries. At last, â€Å"Recommendations† will be proposed to help organizations to use the significance of electronic business in their vital assessment.â In next section, related explores in electronic trade will be investigated Part 2: LITERATURE REVIEW Electronic Commerce As indicated by the International Engineering Forum, internet business is â€Å"an rising model of new selling and promoting instruments in which purchasers can take an interest in all periods of a buy choice, while venturing through those procedures electronically as opposed to in a physical store or by telephone (with a physical index). (online International Engineering Forum)† E-business empowers a client to get to item data, select things to buy, buy things safely and have the buy settled monetarily.  â â â â â â â â â â While the idea of web based business as the capacity of associations or an individual to sell over the Internet is mainstream, the examination paper will receive the meaning of Organization for Economic Co-Operation and Development (OECD). Internet business can be characterized as â€Å"the aggregate of all applications that relate to online correspondences and exchange (OECD, 2000).† The definition better suit our motivation of talking about web based business with regards to vital administration. The examination sees web based business comprehensively, which incorporates the correspondence among associations and client over the Internet, the fruition of one-time or on-going on the web exchanges, and e-CRM frameworks.  â â â â â â â â â â The rise of web based business in the retail area is one of the most broadly embraced and foreseen improvement in the business. Following the accomplishment of Amazon, numerous physical retailers bounced into the website fleeting trend and set up their online nearness in the World Wide Web. Many have received web based business capacities out of a dread of falling behind contenders or because of the general energy to grow the utilization of a current Internet nearness. Regardless, the primary offer for associations receiving an online nearness is the possibility of expanding income from new markets and utilizing a lower-cost, electronic-conveyance channel (online International Engineering Forum).  â â â â â â â â â â With a solid interest from associations in making an online nearness, network access suppliers (ISPs) have started to offer electronic-trade facilitating administrations. ISPs regularly position as a redistributed specialist organization of the customers’ electronic-business capacities, dealing with the systems administration and server parts of the activities. Such administrations are significant thought for the turn out internet business destinations as it permits associations to use on the aptitude of ISPs and permits associations to focus on their center organizations (online International Engineering Forum).  â â â â â â â â â â From the customer’s point of view, the principle advantage of an online business framework is the accommodation it brings to purchasers, who are obliged by occupied timetable and various exercises. The web based business framework empowers a client to find and buy an ideal decent or administration over the Internet when the client is prepared to make the buy. Its capacity is equal to a virtual store (online International Engineering Forum).  â â â â â â â â â â From the merchant’s viewpoint, the web based business framework empowers the association to exploit the qualities of online store and increment incomes. One of the key advantages of executing an online store is the ability to cover more prominent market reach and an integral conveyance channel to its current physical stores. In any case, so as to adequately execute an online business procedure, the internet business framework must reproduce or use existing information and business forms. The trader must reproduce a similar shopping involvement with its online store giving in-store help, secure installment procedure, indexes and costs about the items and administrations, stock administration, and exchange abilities (counting credit approval, charge calculation, monetary repayment, and transportation) (online International Engineering Forum).  â â â â â â â â â â Furthermore, web based business not just permits shippers to exploit showcase reach, yet it additionally empowers vendors to rethink and improve an enterprise’s brand quality, client assistance ability, and flexibly chain effectiveness. An internet business webpage is one of the regions of a venture framework that is available to clients by means of the Web, yet it is connected with other data arrangement of the undertaking esteem chain (online International Engineering Forum).  â â â â â â â â â â In actualizing an online business website, arrangement of the fundamental framework requires an Internet association, a Web-application server and web based business application programming, and a PC for the customer. Figure 1 delineates the fundamental monetary drivers and application necessities of an online business commercial center. On the purchasers side, buyers are headed to the online retail location through promotions, fascinating highlights, required data, and catalog. On the venders si

Diversion and Probation Essay - 275 Words

Community Corrections: Diversion and Probation (Essay Sample) Content: Community Corrections: Diversion and ProbationName:Institution: Community Corrections: Diversion and ProbationCommunity corrections refer to the ways and approaches that are devised so as improve the behavior and mannerisms of the members of a given society (Petersilia, 2012). In reference to this discourse, I have come to understand and acknowledge several issues that I did not know previously. They include the following; First of all, I have come to realize that community corrections such as probations are not purposed or targeted to taint the reputations of the concerned individuals. Actually, these approaches are meant to make them better persons who can be accepted back to the community. Secondly, I have learnt that diversion is mostly associated with children and youths (Barton-Bellessa, 2012). This is buttressed by the position that they are more vulnerable to the things like peer pressure and other ancillary aspects that centrally relate to bad influence. Thir dly, previously, I did not know that community corrections were part of the justice system. Generally, those who are mandated to spearhead the endeavors that relate to probation and diversion, are appointed by the judiciary, an arm of the government.On the one hand, it is rather desirable to expound that I has been surprised by the position that for one to graduate or deem to have completed his or her probation term, it must be established that the concerned person has adhered to all the expected standards and dispositions. As part of external sources, I made references to the Hanser Roberts book referred to as Community Corrections (Roberts, 2010).As far as content obstacles are concerned, I found it rather difficult to understand the line between diversion and probation. This was significantly ...

Entrepreneurs Essay - 853 Words

nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;Paper #2: Entrepreneurs INTRODUCTION In this paper, I am going to talk about the contest of business and some of its greatest entrepreneurs. The three entrepreneurs that I have researched are Bill Gates, Master P, and Ben amp; Jerry. I will be looking at their backgrounds, financial assets, beginnings, and contributions. DISCUSSION Bill Gates Background Born on October 28, 1955, Gates and his two sisters grew up in Seattle. Their father, William H. Gates, is a Seattle attorney. Their late mother, Mary Gates, was a schoolteacher, University of Washington regent and chairwoman of United Way International. Gates attended public elementary†¦show more content†¦Contributions To date, the Bill and Melinda Gates Foundation has committed more than $300 million to organizations working in global health; more than $300 million to improve learning opportunities in the United States and Canada; more than $54 million to community projects in the Pacific Northwest; and more than $29 million to special projects and annual giving campaigns. Master P Background Percy Miller, better known as Master P, was born in New Orleans’ Calliope Projects, with four siblings to follow. Reality was right outside the window: poverty, crime, and murder were nothing new. Surrounded by a strong sense of family, even after his parents split up, Percy had dreams of basketball and acting stardom. He followed the latter to a college basketball scholarship, but personal setbacks and family tragedy knocked down the game on his list of priorities. Financial Assets Master P recently topped â€Å"Forbes† magazine’s list of 1998’s highest paid musicians. The CEO of No Limit Records is the 28th richest man in America. Master P’s No Limit Records sold more than 10 million albums and late in 1998 boasted three of the year’s 40 best sellers. The man has done it all, from making a professional wrestling debut, playing basketball for the Charlotte Hornets, designing his own clothing line, and starring in a eight movies, three of which are in production. Beginning After his grandfather’sShow MoreRelatedBecoming An Entrepreneur As A Entrepreneur1926 Words   |  8 Pagesto pursue in the future is to become an entrepreneur, so while I’m at UPEI, I plan to specialize in entrepreneurship. According to its definition, an entrepreneur is someone who â€Å"organizes, manages, and assumes the risks of a business or enterprise† . So specializing in entrepreneurship is where I would learn to the skills that would help me in the future. Since not every career is meant for everyone, to ensure that one is capable of becoming an entrepreneur, one must evaluate the education or trainingRead MoreThe Motivation For Entrepreneurs, And The Definition Of Entrepreneur1190 Words   |  5 Pagescovering multiple topics associated with the motivation for entrepreneurs, and the definition of entrepreneur. I have found publications covering topics such as, history of entrepreneurship, the influence of social and educational background, positives and negatives of entrepreneurship, characteristics of entrepreneurs etc. All of these come together to paint a full picture and give clear insight into the motivations of an entrepreneur. However, as the economy continues to change with new technologyRead MoreThe DNA of an Entrepreneur: Is There an Entrepreneur Gene?2539 Words   |  11 PagesThe DNA of an Entrepreneur    Is there an Entrepreneur Gene or an Entrepreneur Chromosome within the DNA of an Entrepreneur?    In humans, there are chromosomes that determine sex and there are genes that determine the color of your eyes.  Generically speaking, there are X Y chromosomes that determine whether you are either male or female suggesting that you either are a female or are not a female.  Ã‚   With genes, there are dominant genes and recessive genes, suggesting that while youRead MoreThe Successful Entrepreneurs1264 Words   |  6 PagesBUSINESS MANAGEMENT ( FMG0044 ) ASSIGNMENT 1 : â€Å" THE SUCCESSFUL ENTREPRENEURS † Lecturer : Sir Azizi Name : 1) Ahmad Zul Iqmal B. Zulkifli (012012051643) 2) Khoo Chee Hong (012012050692) CONTENT 1) Introduction 2) Profile / Background of the entrepreneur 3) The success characteristics / traits of the entrepreneur 4) How should I imply his / her success attitude to improve my personal development / my life ? 5) Conclusion INTRODUCTION EntrepreneurshipRead MoreBecoming an Entrepreneur5446 Words   |  22 PagesBecoming an Entrepreneur Reel Classics Vintage Movies Memorabilia Coordinator: Prof. Anca Mà ¢ndruleanu Student: Chioibasu Cristina Series A, Group 112 TABLE OF CONTENTS PART I. Theoretical Support What is entrepreneurship? .................................................................... p. 2 Reasons for becoming an entrepreneur .................................................. p.2 Entrepreneurship’s importance .......................................................Read MoreEntrepreneur Characteristics1725 Words   |  7 PagesAre You Cut Out to Be a Successful Entrepreneur? ABSTRACT First, there was an interview with a successful entrepreneur. Second, there was a talk on entrepreneurship by a guest speaker, Mr. Azmi Ahmad (the CEO of Skali.com) and later, an elevator speech by fellow students on various issues related to entrepreneurship. This collective information and some reading on entrepreneurship journals, books and articles have brought to the idea on writing this paper, towards certain perspective, on successfulRead MoreA Interview With The Entrepreneur1386 Words   |  6 Pages Report: From the meeting with the entrepreneur Jane Lu, I found that being an entrepreneur is not an easy task. The person has to face a lot of toil and hardship. Within an entrepreneur, there is a need of perseverance, confidence, passion and communication skills in order to achieve the goal. This holds true for a small business like a departmental store. In my opinion, an entrepreneur is a risk taker, as he knows despite receiving no as the reply to some questions he has to encounter certainRead MoreWho Is An Entrepreneur?1519 Words   |  7 PagesAmong the FAQ I often get is what is an entrepreneur? Though, I get peppered with it, but the most widely recognized subject keeps running along the associated words: How can I do what you do? How do I become an entrepreneur? Would you be able to suggest a way? So I ve found out that’s engaging in many conversations with people of all ages – most part ranging from 20-year-olds to mid-career experts to late secondary school gradua tes to early retirees can help answer these questions. Before I moveRead MoreProfile of an Entrepreneur1384 Words   |  6 PagesName: Roderick Smart ID#: 92058153 Course Title: New Ventures and Entrepreneurship Course Code: SBCO 6190 Lecturer: Dr. K’adamawe K’Nife Topic: Profile of an Entrepreneur Profile of an Entrepreneur Entrepreneur Mr. Earl Martin CEO and founder of Island Products Manufacturers Start Date 1992 Industry Manufacturing of Chemical Products Innovation Sale of household cleaners in bulk quantities Background Mr. Martin started his company island products Manufacturers in 1992Read MoreCharacteristics of Successful Entrepreneurs1015 Words   |  5 PagesCharacteristics of successful entrepreneurs An entrepreneur is someone with the capacity to lead a business to success and is willing to take the risks in order to accomplish their goals. (Dollonger, 2002). Starting a new business is an example of entrepreneurship. Entrepreneurs are very important in order for any business to succeed, however, only some entrepreneurs will succeed in life. Here are some of the characteristics of successful entrepreneurs. Passion Most successful entrepreneurs are have a passion

Is Excel A Standard System Used Nowadays Companies For...

AbstractAbstract Excel is a standard system used nowadays in many companies for accounting. The weakness of the program is that users can modify or erase formulas by accident, and not be detected. Perhaps the program had errors in the results using statistical functions. Moreover, Microsoft was notified the issues from many years, and they did not launch an update to fix the problems. Many employees will try to practice fraudulent activities, especially in a company with poor security and control system. There are few examples written of that fraudulent activity, which will help the reader to understand the situations. Also, managers found that the implementation of accounting complexity for financial reports, which will assist them to†¦show more content†¦The software allows mistakes, provides manipulation of the accounts and makes it difficult to monitor or supervise the real status of companies. Using Excel allows mistakes by the users which will affect the actual reports. Nowadays, the companies are working with two kinds of programs â€Å"closed program† and â€Å"open program†. Closed programs will track all financial activities, for example, inventory, discounts, accounts payable, accounts receivable, cash and payroll; and obtain accurate financial statements. The closed program only lets the user input data transactions of the business, and it does not allow the user to make any changes in the system. For example, QuickBooks is a great program for accounting, which cannot be modified by the user. The program was designed to save time, money and minimize errors from the users. The only problem with that type of program is that companies have to adapt to the computer system. The open programs like Excel, allows the user to create the worksheets needed for the business, which can be modified anytime. A disadvantage in Excel is that users could by accident erase, or change a formula in a cell that will affect the results of the financial statements. At work, employees have been using Excel to record their tips collected every shift which is paying bi-weekly. A problem appears when an employee is added or erased from the list. At the time of modified data in Excel the person in charge by mistakeShow MoreRelatedIs It A Standard System Used Nowadays?2120 Words   |  9 PagesExcel is a standard system used nowadays in many companies for accounting. The weakness of the program is that users can modify or erase formulas by accident, and not be detected. Perhaps, the program had errors in the results using statistical functions. Moreover, Microsoft was notified the issues from many years, and they did not launch an update to fix the problems. Many employees wil l try to practice fraudulent activities, especially in a company with poor security and control system. There areRead MoreMarketing Plan For A Marketing1458 Words   |  6 Pagesto protect investors from the possibility of fraudulent accounting activities by corporations. The Sarbanes-Oxley Act (SOX) mandated strict reforms to improve financial disclosures from corporations and prevent accounting fraud. SOX was enacted in response to the accounting scandals in the early 2000s. Scandals such as Enron, Tyco, and WorldCom shook investor confidence in financial statements and required an overhaul of regulatory standards.† (investopedia.com, 2002) It is a great achievement ofRead MoreAdvancements Of The Field Of Science And Technology1557 Words   |  7 Pages(Turnbull, 2011). All this information has created a dependency on machines to deliver results in the fastest possible time, so that decisions can be made and actions can be taken at the earliest. This could be right from something as simple as an Excel sheet used for maintaining the finances of a household, to the computers that power Dow Jones. As can be imagined, any occurrences of failures can prove to be catastrophic, as was evidenced earlier this year. On the 8th of July, the servers at the New YorkRead MoreApplication of Ict on Accounting4286 Words   |  18 PagesApplications of ICT in Accounting. Accounting records have been maintained only on a manual basis for a period now. The bookkeeper or the owner is required to fill a paper source document for each sale or receipt, and then work overtime writing the transactions of the day or week in special journals, stock cards, and debtor and creditor records. This obviously took some time, time that would otherwise have been spent operating the business. The business also pays extra money to account officersRead Moremanagement accounting and decision making2096 Words   |  9 Pages According to Burger (2008) â€Å"Accounting is the language of business. A lot of people think it s just numbers, but it s really a lot more than that. There are a lot of areas outside of numbers that need to be looked at, processes and procedures, what the tone of the company is. Accounting will take you in just about any direction in a company. ~ Wade Becker, CPA, Beard, Miller Co. The job description of many professions is changing nowadays. The skills to perform a certain job require moreRead MoreSample Resume : College Internship2939 Words   |  12 Pagesexperiences in the real world and to see how it actually works. I had set some goals for my internship- to earn experience from it, to earn 3 credits from it, to learn to work in the team, to gain confidence, and gain valuable understanding of the accounting field and will be able to better grasp the things how my coursework is preparing me to enter my chosen career and to strengthen my CV. An internship can also heighten the awareness of community issues, motivates to create opportunities, embraceRead MoreThird Party Liability in Audit3576 Words   |  15 Pagesliability of auditors to third parties has been the subject of much litigation. Litigation claims against accountancy firms have increased dramatically in the last thirty years. Previously, such cases were rare and were viewed with great interest. Nowadays, whereas still treated with great interest they are becoming all kind of common. The specific area of auditors liability to third parties is an extremely complex area. As there is no contractual claim for recovery of losses, third parties takeRead MoreChallenges and Opportunities of Computerized Accounting System6101 Words   |  25 PagesChallenges and Opportunities of Computerized Accounting System Ahmed Qaalib Ismail BCom BIT Reg.No: HK-MBA-01411 This Thesis submitted to Kampala University Impartial fulfillment of the requirement for the award of the Master of Business Administration Kampala University 08/04/2013 By: Ahmed Qaalib Ismail DECLARATION I, Ahmed Qaalib Ismail, declare that this research report is my original work. It has not been submitted to any other university or higherRead MoreInformation System and Financial Analysis for Starbucks3745 Words   |  15 PagesINFORMATION SYSTEM AND FINANCIAL ANALYSIS FOR STARBUCKS MODULE: FINANCIAL ANALYSIS AND MANAGEMENT SECTION 1: Introduction: The need of management Management is the key to success for a good business. These days management became universal, no matter what country the organisation is located in. The need of management is vital in all types and sizes of organisations. Managers in all types of organisations will plan, organise, lead, control and take strategic decisions. To makeRead MoreCapacity Planning Using Linear Programming3875 Words   |  16 PagesCompany R’s Strategic Capacity Planning Using Mixed Integer Linear Programming ABSTRACT Company R is experiencing 2.07 more days in producing a certain line of hotdogs. Thus, incurring 51.75% more cost of Php 5, 764. 62 per week. Through work sampling and time study, it was found out that the sealing section of the packaging line is the bottle neck activity with a standard processing time of 2.86 min/kg. Additional machine is needed. Employing strategic capacity planning through formulation

Principles of Corporate Social Responsibility-Samples for Students

Question: Milton Friedman classically argued that the purpose of a private firm is to make money for its shareholders. Any attempt to impose more payments on the firm by way of social responsibility is an additional cost and should be avoided. Do you agree with this statement? Discuss briefly. Answer: I totally disagree with the statement of Milton Friedman that a companys purpose is only to earn profits for the sake of the shareholders and that the cost of social responsibility is a burden for the company that should be avoided. As we all know, that the primary reason for running a business is earning profit. However, it is not possible to survive in the long run if it only aims at earning profits. It is equally important to fulfil the responsibilities towards the society(Agarwal, 2008). Milton Friedman is of the view that they should focus on maximising the return of the investors rather that incurring additional cost on fulfilling the social responsibilities. He is of the thought that such activities distorts the economic freedom of the company and also that the investors have invested their funds to earn higher returns and not perform charitable activities (Baxi Prasad, 2006). These charitable activities will not increase the revenues of the company in any manner. He thinks of economic benefits prior to the ethical needs of the company. According to him, it is the sole responsibility of the company to think of ways by which it can maximise profits and all these activities are wasteful expenditures. In order to explain my view point clearly and precisely, it is first important to understand the meaning of corporate social responsibilities and its importance. Corporate social responsibility is the responsibility of the business towards the social welfare and the environment. It is the social responsibilities of the companies in existence to maintain a balance between the profits and the activities that has certain benefits to the society. There are large numbers of companies that have adopted various approaches to avoid any kind of harm to the environment (Chandrasekaran., 2011). However, the shareholders will never demand profits by keeping stake on the societies needs as they also are a part of the society. A company can successfully run only when it maintains a good reputation in the market. The reputation of the company is not build in a day. We can also say that the goodwill of the company is formed only by performing activities benefits the society in a day or other. It is build over time when the society observes the activities carried out by them (Chatterji, n.d.). One of the main reasons for my disagreement with his statement is that a company needs resources to carry out its operations smoothly and these resources finally belong to the society. The society has provided license to the companies to use these resource. So, it is the duty of the business enterprises to look after the betterment of the society and fulfil the social obligations. According to the Iron Law of Responsibility, the society can revoke the license anytime when it feels that a company is not capable of fulfilling the social needs of the society. Hence, it is impossible for the company to survive for a longer period of time. The investors not only demands higher return on their investment but also want the company to behave in an ethical manner. It is a known fact that a company cannot grow and improve its performance over the years if it does not work efficiently and ethically. The investors would never like to invest in a company that behaves unethically because it becomes difficult for them to trust with their hard earned money. Now, lets talk from the point of view of the customer. Every business needs to increase sales in order to generate revenue (Crane et al., 2008). Indirectly, the business requires a huge number of people in order to survive in the competitive market. It is important to attract new customers as well as to retain the old ones. It is a loss of reputation for the company if the old customers lose their faith in the company. All the customers before buying the product see the environmental impacts that it had while getting processed because normally these additional cost are include d in the price of the product which results s a burden on the customers. Therefore, we can conclude from this that along with the investors customers are also an essential part and so their needs and desires should also be given equal importance(Katamba, 2012). Friedman was of the view that performing social responsibilities may prove to be detrimental for the companies and as a result of this the stakeholders may lose their interest in the company. They neglected the fact that being ethical is also one of the marketing strategies as it helps to win over the confidence of people (Kotler Lee, 2005). Freidman does not say that the directors should do anything in order to maximise profits but he is against doing any kind of charitable activities. He neglects the benefits that it would have in the long run from the aspect of the business. He thinks that it is absolutely foolish to spend such large amounts on these things and that too when these funds finally belongs to the shareholders of the company (KHANKA, 2014). Friedman thinks that meeting the expectations of the shareholder is the only way by which it can fulfil its moral responsibilities. In order to explain Friedmans view in more depth, let me take an example. Once there was a electric company that disconnected electricity of a person because of the non payment of the bill. The person died as a consequence of some unwanted happening during that time. Friedman in this case gives his opinion that the directors of the company did what was thought to be ethical as it is their sole duty to think about the corporation. The survival of the company should be the most important and by safeguarding it the directors are performing their social obligations (Moon, n.d.). Apart from earning profits, value creation is the most important. Value creation can be defined as the increase in the goods, services and the business itself. Value creation does not only means earning huge profits but various other aspects has also to be seen such as maximising return on equity. For example, there may be two companies one whose shareholders equity is 20000 and the other whose shareholders equity is 1000 only. The first company earns a profit of 1000 whereas the second company earns a profit of 100 only. If these raw information is available then people may think of investing in the first company but on comparing the return on equity they would prefer the second company. As the return on equity of the first company is 5% whereas of the second company is 10%. Therefore, only raising huge funds from the shareholders is not enough proper allocation and optimum utilisation must be done (Perrini et al., 2006). Saving cost should be the motive of all the companies. However, saving money by not performing social duties is incorrect. A company has various many other factors where it could reduce cost. A company should analyse properly before taking make or buy decision. It should calculate the incremental cost or differential cost before taking up an order. Incremental cost here means the additional cost a company has to incur on producing an additional unit of product. Differential cost is the gap between the two important economic decisions at different levels of output. In support of my answer, I would like to conclude that Friedman thought that it was unethical or wrong to invest shareholders fund in a place that could not generate direct wealth to them. However, the shareholders never wanted the company to run away from performing its social duties. The shareholders are also a part of the society and they will never demand dividend at the cost of the fulfilment of the needs of the society (Ravichandran, n.d.). If the company is behaving in an ethical manner then it will not only benefit the society but also the shareholders and the business also. There will be an automatic growth of the company with the growth of reputation in the market. So, it is absolutely incorrect to think that the expenses involved in performing corporate social responsibility is an additional cost. If the companies accept Friedmans opinion then there will be no investors that would like to invest in such companies. Therefore, all the reasons for my disagreement with his vie w have been stated clearly (Sacconi et al., 2011). References: Agarwal, S. (2008)Corporate social responsibility in India,. Baxi, C. and Prasad, A. (2006)Corporate social responsibility, New Delhi, Excel Books. Chandrasekaran. (2011)Corporate governance and social responsability, [Place of publication not identified], Prentice-Hall Of India Pv. Chatterji, M. (n.d.)Corporate social responsibility,. Crane, A., Matten, D. and Spencer, L. (2008)Corporate social responsability, Abingdon, Routledge. Katamba, D. (2012)Principles of corporate social responsibility (CSR), Houston, Tex., Strategic Book Publishing and Rights. KHANKA, D. (2014)BUSINESS ETHICS AND CORPORATE SOCIAL RESPONSIBILITY, [S.l.], S CHAND CO LTD. Kotler, P. and Lee, N. (2005)Corporate social responsibility, Hoboken, N.J., Wiley. Moon, J. (n.d.)Corporate social responsibility,. Perrini, F., Pogutz, S. and Tencati, A. (2006)Developing corporate social responsibility, Cheltenham, UK, Edward Elgar. Ravichandran, K. (n.d.)Corporate social responsibility,. Sacconi, L., Antoni, G. and Frey, B. (2011)Social Capital, Corporate Social Responsibility, Economic Behaviour and Performance, Houndmills, Basingstoke, Hampshire, Palgrave Macmillan.