Managing Business Ethics and Opportunity Costs
Economic profits differ from accounting profits. Accounting profits are usually defined as revenues minus costs, and those costs as fixed and variable. Economic profits enlist a third cost, opportunity costs. While these costs are difficult to determine with mathematical precision, they are nonethel...
| Authors: | ; |
|---|---|
| Format: | Electronic Article |
| Language: | English |
| Check availability: | HBZ Gateway |
| Journals Online & Print: | Drawer...
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| Fernleihe: | Fernleihe für die Fachinformationsdienste |
| Published: |
Springer Science + Business Media B. V
1997
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| In: |
Journal of business ethics
Year: 1997, Volume: 16, Issue: 8, Pages: 835-842 |
| Further subjects: | B
Opportunity Cost
B Economic Profit B Business Ethic B Social Cost B Economic Growth |
| Online Access: |
Volltext (JSTOR) Volltext (lizenzpflichtig) |
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| 520 | |a Economic profits differ from accounting profits. Accounting profits are usually defined as revenues minus costs, and those costs as fixed and variable. Economic profits enlist a third cost, opportunity costs. While these costs are difficult to determine with mathematical precision, they are nonetheless significant, especially for decision making in business. They reflect social costs and benefits, tensions between individual and corporate interests, and all internal and external considerations which enter into decision making in business. It is precisely within opportunity cost decision making that Primeaux and Stieber situate business ethics. | ||
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