Do you agree with the statement as opined by Milton Friedman, that companies have no responsibility towards the society and that their objective was primarily the enhancement of shareholders' wealth? Discuss.

No, I do not agree with the statement by Milton Friedman, the reputed Economics Nobel laureate, who opined in 1960s that companies have no responsibility towards the society and that their objective was primarily the enhancement of shareholders' wealth. Organisations use resources that belong to the society and it is expected that they should operate in a sustainable manner and spend some amounts for preservation and sustainability of resources which belong to the society. Augmenting profits is no longer the sole business performance indicator for the corporates and they have to play the role of responsible corporate citizens by undertaking activities for betterment of the society and the environment under the umbrella of Corporate Social Responsibility (CSR). Governments across the world have been using different forms of regulations to improve corporate behaviour so as to promote increased accountability, disclosures and transparency from them. With the introduction of Companies Act, 2013 in India, there is a statutory obligation for the corporates to take initiatives towards Social, Environmental and Economic Responsibilities. The initiatives taken have also to be reported to the shareholders and other stakeholders appropriately.