Milton Friedman The Social Responsibility Of Business

Friedman and Social Responsibility of Business
Milton Friedman believed and argued that business people take care of the responsibilities that affect them in their day to day life. However, they don't care the impact their businesses have on the society so long as their market is growing and increasing their profits. The main reason why he argued this is because believing in a reduced impact that the government has and a free-market. He found that government solutions to problems are no better because its solutions are even worse than the problem itself. As a result of his belief, he believed that the government should keep off the businesses activities because of its greed and the quest of people to have access to power. Additionally,
…show more content…
It can only be possible if it hand reduces the cost of the expenses such as minimizing the potentially harmful effects the business might have to the social lives such as pollution (Friedman, 2007). His statement that "the social responsibility of a business is to increase its profits" sounds cruel. But from my perspective, this might be true. Businesses stakeholders do anything they can to ensure that their businesses become large and more prominent every day. They don't care what their companies do or how they affect others. Some of them don't care about the safety of the workers that help them make the profits. Others care less about where they dump their waste products. They dispose of them in rivers, air pollution and a lot of noise pollution, all these because they want to reduce the cost of production and increase the output. In the third world countries, some business owners employ young kids because they will pay them less amount compared to what could have been paid to the right person for the job (Carroll & Shabana, 2010). The act deprives young children the right to access education, and they are physically abused. All the laws make the society uncivil and potentially unpleasant to live. Friedman was having no problem with businesses making profits so long as they maintain a civilized society. I do not doubt that what he was …show more content…
Their social purpose is to make profits, grow bigger and make much money as possible for its stakeholders. Individuals who run these corporations do not care about what impact their business have or how they affect the social life of other people. From my point of view, this is the main reason why he claims that the business owners care about the social responsibilities of their social life, but they don't take care of the same social responsibilities when it comes to running their businesses. The way he was proposing was right. Companies and firms should be allowed to make as much profit as they can, but in return, legislations that will demand the benefits created by the businesses to be used to take care of the externalities from their companies should be set. The enforcement of these legislations would make the business owners responsible for the social life even in their

Related Documents