Essay on Questions of Value

Submitted By ninyapie
Words: 390
Pages: 2

While the business’ first and foremost objective is to maximize profit for shareholder’s benefit – this is very critical as business should be able to bring value to people who finance it, as they put in capital as part of the risk they take to be able to sustain the business. It is also important to take into consideration the value it should bring to its customers and employees as well as business partners up and down the supply and distribution chain referred to as stakeholders from CAM article. And while it’s important to calculate for EVA (Economic Value Added), it is equally important to also measure a business value to stakeholder in the form of its corporate and social responsibility (CSR). I agree with Mr Mansibang’s statement that stakeholder value can be achieved only if it is embedded as part of corporate life or part of the business’ DNA - a non-negotiable strategy with internal processes making way for more effective accountability, transparency and responsibility.
Last statement is very true as it puts on a challenge of not just complying with the rules and that it is just not about being legal – but being ethical and moral as well. Yes, it’s important that primarily business are gaining profits so that it can be sustained. But once needed profit is achieved business should be able to bring back something to the community to which they operate on and earning business with. It is also important that employees, one of the key stakeholders, are getting value out of doing business with the company they…