Primary and Secondary Objectives of Business

George Goyder has classified the objectives of business into two broad categories (i) Primary objectives, and (ii) Secondary objectives.

• Primary Objectives : The principal objectives of a responsible business are as follows :

a) To extend, develop and improve the company’s business and build up its financial independence.

b) To pay fair and regular dividends to the shareholders.

c)  To pay fair wages under the best possible conditions to the workers.

d)  To reduce prices to consumers.

• Secondary Objectives : These include the following :

a)  To provide bonus for the workers.

b) To assist in promoting amenities for the locality.

c)  To assist in developing the industry in which the firm operates.

d) To promote education, research and development in ht techniques of the industry or any other purpose which the directors and members in general meeting have approved.