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A company sells customer data without permission to increase profit. What is the most correct conclusion from the viewpoint of management objectives?

Answer and explanation

Correct answer: The social objective and long-term trust are weakened

The governing concept is that profit is an important organisational objective, but it must be pursued responsibly and along with social objectives. Selling customer data without permission violates privacy and can damage customer interest, public confidence, and the organisation’s reputation. Although the action may produce immediate revenue, that short-term gain cannot prove that the overall objectives of management have been achieved. Option B is therefore correct: social responsibility and long-term trust are weakened. Option A is wrong because profit is not an unlimited justification for unethical conduct. Option C confuses customer privacy with employee or individual objectives, while option D is too absolute because unethical practices can also harm future growth through complaints, penalties, and loss of goodwill.

Related tags

Customer PrivacySocial ObjectiveEthical ManagementObjectives Of ManagementNature And Significance Of ManagementBusiness StudiesClass 12 Mcq

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