A restaurant chain sponsors a charity that provides for children with cancer to be treated with their parents present. How would the use of company funds for this purpose be justified by a business whose goal is to maximize profit?

Respuesta :

Answer:

It boosts company's corporate image and improves prospective profit.

Explanation:

The money spent for charity purpose will help in profit maximization as it will help in improving the corporate image of the company.

Charity works come under corporate social responsibility, it reflects that the company cares about society and is working to improve societal conditions. It presents the image that the company does not work solely for profit maximization thus improving its image from the consumer's perspective. This further improves the profit perspective.

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