Understanding Various Goals of a Firm:
Introduction: Some economists are of the opinion that making a profit must not be the sole purpose of a firm's operations. There are other goals that can be considered equally important.
Task: Explain the above statement in light of the various theories of a firm as developed by economists.
You must develop your answer based on the following points:
1) Can modern corporations consider profit maximization to be their only goal?
2) Can there be other goals also? If so what are they?
3) What makes a firm chose a particular goal?
4) Do changing market conditions affect these goals?