Friedman Doctrine - Overview, What It Says, Influence The Friedman Doctrine asserts that a corporation's primary responsibility is to maximize shareholder value through profit generation while adhering to legal and ethical boundaries It argues against corporate social responsibility, emphasizing economic efficiency as the sole objective Friedman Doctrine came into existence in 1970
It’s Time to Rethink Milton Friedman’s ‘Shareholder Value . . . Where Friedman was wrong In 1970, the late Milton Friedman of the University of Chicago famously argued that corporate managers should “conduct the business in accordance with [shareholders’] desires, which generally will be to make as much money as possible while conforming to the basic rules of the society, both those embodied in law and those embodied in ethical custom ”
Social responsibility matters to business – A different view . . . Friedman argued that returning value to shareholders was the primary responsibility of business and suggested that “Greed is Good ” Shareholders, of course, could invest their money in whatever causes they desired, but Friedman believed companies should focus their own efforts on creating value for shareholders
Friedman doctrine - Wikipedia The Friedman doctrine is controversial, [1] with critics variously saying it is wrong on financial, economic, legal, social, or moral grounds [14] [15] It has been criticized by proponents of the stakeholder theory, who believe the Friedman doctrine is inconsistent with the idea of corporate social responsibility to a variety of stakeholders [16]
The Intellectual History of Milton Friedmans Criticism of . . . Friedman's intervention has become a key milestone in narratives describing the rise of the shareholder-value movement, the “business case” for corporate social responsibility (CSR), and a neoliberal, pro-business agenda that defanged antitrust enforcement
Milton Friedman on Corporate Social Responsibility The counterpoint to Friedman's view is developed in the socio-economic school of Corporate Social Responsibility One of the leading proponents of this view proposed the Iron Law of Responsibility, which holds that the “social responsibilities of businessmen need to be commensurate with their social power”, which was further built upon by Frederick: 6