RT Article
T1 Why Firms Should Not Always Maximize Profits
JF Journal of business ethics
VO 76
IS 2
SP 137
OP 145
A1 Kolstad, Ivar
LA English
YR 2007
UL https://ixtheo.de/Record/1785628658
AB Though corporate social responsibility (CSR) is on the agenda of most major corporations, corporate executives still largely support the view that corporations should maximize the returns to their owners. There are two lines of defence for this position. One is the Friedmanian view that maximizing owner returns is the social responsibility of corporations. The other is a position voiced by many executives, that CSR and profits go together. This article argues that the first position is ethically untenable, while the latter is not supported by empirical evidence. The implication is that there may be good reason for firms to deviate from a maxim of profit maximization.
K1 M14
K1 D63
K1 special duties
K1 Profit Maximization
K1 Corporate social responsibility (CSR)
K1 Business Ethics
DO 10.1007/s10551-006-9262-7