All the business leaders create the primary aim of business. The present age is the age of competition and globalization. In the business context, globalization means creating certain products and services which can be sold in the international market. The business companies design their products and services in such a way that they are capable of meeting the needs of international consumers. Either a business operates at the local level, national level, or at an international level, the business always has the threats of the competitor. Therefore, the primary aim or motive of the business should be chosen wisely.
Why profit should not be the primary aim of business?
The business covers a wider aspect and a business leader needs to perform several tasks. If the business leader is committed to enhance the profit then he/she may miss several important areas. When the mind of a business leader is diverted toward profit then it may hamper the strategic decision-making process which eventually leads to dissatisfaction with several stakeholders.
For e.g., a business leader may reduce the cost to maximise profit. This decision may hamper the process of employee operation and hence it creates employee dissatisfaction. The number of employees leaving the company will increase. The business needs to bear the high cost of recruiting new employees. Therefore, profit shouldn’t be the primary aim of business.
The business leader should always think about the future. The leader must accept that the company can face hard times in the future. If the leader focuses on profit solely then the leader cannot maintain good relationships with the stakeholders. Then in a hard time, stakeholders will not help the business to deal with hard times.
What should be the primary aim of business?
In my view, the primary motive of the business should be fulfilling the needs of society. Therefore, business leaders must analyze the needs of the consumers. What are the needs? And how are they meeting their needs or what alternatives they are using to meet their needs?
The business leaders might also need to analyze the activities of the competitors. The leaders should start their business at the local level with the aim of fulfilling local needs. The business leaders will do several activities that enhance the company’s profit. When the business grows well, the business leader should now aim to fulfil the needs of regional needs. In this way, one day, the company can dare to create an aim to fulfil international needs.