shanthanu

Group #1: Analysis of Issue The desire of corporations to maximize profits creates conflict with the general welfare of the nation at large Discuss the extent to which you agree or disagree with the opinion stated above. Support your views with reasons and/or examples from your own experience, observations or reading. ANSWER In this globalized world,It is a fact that business can survive only when it grows bigger and bigger ,else it will be overtaken by a rival.So automatically it will have conflicts with other companies.The competition pressures the company to resort to ulterior motives in order to increase the profits and thus beat the rival.The general public bear the brunt of the policies as the increased profits result from extra burden on the general public.Hence the welfare of the public takes a back seat and profit becomes the main motive. A Pharmaceutical company sold a health additive in the brand name of horlicks.Once it has a very good customer base and got a good following .The company reduced the quantity sold and increased the prices.this caused great hardships for the customer.Hoarding (Holding up supply until renumerative prices are offered)is another way of getting undue profits.Hoarding of onion caused so many problems ! for the people in India that a whole government was toppled for that single reason.This shows the extent to which large corporations are willing to lower their integrity in order to earn profits These type of marketing strategies are commonly used for increasing profits.The price rise is not due to inflation or any other external factor,the sole purpose being the greed for increasing profits and getting undue benefits from the sale of their products .This ultimately affects the general public as they have to pay more for no other reason than to satiate the greed of the corporations.This creates a direct conflict with the nation's interest at large. Looking at the methods employed by one corporations,the other corporation has to follow suit in order to stay in the competition on a long term basis.This is like a chain reaction where in the prices of a whole range of goods and services are likely to change because of a change in prices of one of the commodities.This may also lead to an in flation where people have to spend more for lesser goods.The basic design of a globalized business is in such a way that there has to be competition to ensure success.This competition is often unhealthy and the people are affected due to the schemes of the companies to increase profits and stay healthy in the race to be bigger and more profitable. Thus it can be clearly seen that the greed for maximizing profits is in direct conflict with the nations's interest