A factory adopts clean technology to reduce pollution. This is an example of which objective?

Social objective

The governing concept is that business objectives include economic, personal and social responsibilities. When a factory adopts cleaner technology to reduce pollution, it is protecting the environment and reducing the harmful effect of production on society. Therefore, option A is correct because environmental protection is a social objective and responsibility of business. Option B is unsuitable because a personal objective concerns employee welfare, security or satisfaction. Options C and D are also unrelated: dividend distribution concerns returns to owners, while attendance concerns employee presence and not environmental performance. The action may also improve the firm’s reputation and long-term sustainability, but its immediate classification is social objective.

This is a Class 11 Business Studies question. Chapter: Social Responsibilities of Business and Business Ethics. Topic: Business and Environmental Protection.