What are the objectives of Business?
The objectives of business may be classified under three heads:
- Economic objectives of Business
- Social objectives of Business
- National objectives of Business
Economic objectives of Business
- Profit earning
The primary objective of business is to earn profit. Any business which does not earn profit cannot be stayed longer Reasonable profit should be earned by a business. It means it is against the business ethics to earn the profit by over-charging the customers or by black marketing.
- Creating markets
Another objective of the business is to create the customers for its products. If there are more customers then there will be more profit.
- Technological improvements
One of the objectives of business is the technological improvements. Because for the stay of business in the market, new designs, new products and new techniques of products are necessary.
- Profitable sales volume
It is also the object of business to achieve the profitable sales volume. Sales volume must cover the cost and other business expenses.
- Economical production
Another objective of the business is the economical production. It is necessary to control the cost of sale.
- Stability of business
Stability of business is an economic objective. A stable business can easily face all crisis.
Social objectives of Business
- Quality product
The main social objective of the business is to supply the standard quality product to the society. Otherwise it will be against the business ethics.
- Employment opportunities
Business provides the employment opportunities to the people. So one of its objectives is to improve the living standard of people.
- Use of national resources
The business should use the national resources for the betterment of the county. The motto should be more and more goods for more and more people at lower and lower prices.
- Reasonable prices
One of the main objectives of business is to offer the commodities at reasonable prices. Purchasing power of” people and benefit of product must be kept in mind at the time of fixing prices.
- Living standard
Business also raises the living standard of people. By business, people can earn more and spend more
- Public service
Public service is also the object of business. It includes fair wages to employees, adopting different measures for workers and providing better health facilities.
- Apprentice training
Another social objective of business is that it can provide the facility of apprentice training to people. The trained workers can seek jobs or start their own businesses
- Social recognition
Businessmen are well known in the society due to their higher standard of living. This attracts the people to start a business.
National objectives of Business
- Full employment
The achievement of full employment is also the objective of business. The businesses provide jobs to millions people.
- Use of idle resources
Another objective of the business is to use the idle resources of the country like gas, oil etc. With the help of businesses, these may be provided to needy people.
- Favorable balance of payments
Another national objective of the business is to achieve the favorable balance of payments. Because with the help of businesses, the exports of the country are increased and imports are decreased.
- Better living standard
Better living standard is also the national objective of the business. Businesses provide jobs to people and raise their living standard.
