Answer :
In every company, tension of profitability against expansion, immediate vs. long-term goals, and the total firm vs. its constituent elements takes place.
The tension between business's interests and the Public's interest
- Every firm and leader must figure out how to advance several seemingly incompatible goals at once.
- Three sets of competing goals stand out among the others: profitability vs expansion, short-term versus long-term, and the entire company versus the individual pieces.
- To make money, every businessman operates their enterprise. Every firm has one and only one objective: to maximize profit. The primary element is sales.
- Even while businesses must constantly manage some of these conflicts, only one of them is ever crucial to unlocking improved performance.
- Most of the time, CEOs prioritize the incorrect tension. This shouldn't come as a surprise because the conflicts frequently overlap.
- For instance, a company's apparent difficulty balancing short-term and long-term goals could actually be a problem with expansion vs profitability.
Hence, In every company, tension of profitability against expansion, immediate vs. long-term goals, and the total firm vs. its constituent elements takes place.
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