Which economic and management thinker famously promoted this view?

‘The social responsibility of business is profit maximisation’ – focusing on returns to shareholders. This is a famous business philosophy – in contrast to a philosophy of Corporate Social Responsibility as expounded by CIPS.

Which economic and management thinker famously promoted this view?
A . John Milton
B . Milton Friedman
C . John Maynard Keynes
D . Milton Keynes

View Answer

Answer: B

Explanation:

It was Milton Friedman who promoted this view in the second half of the 20th century. This view is now less popular than it was. ‘The business of business is business’ is another famous quote from Professor Friedman, meaning profit maximisation is what business should be concerned with, not broader social or welfare issues. This thinking takes the view that governments can legislate as necessary to cater for society’s needs, funding such activities from taxation placed on successful profit-able businesses.

Milton Keynes is a place in UK; J M Keynes was a famous economist who took a different view to Friedman’s and John Milton is a famous 17th century English poet.