Responsibilities of business towards the government


1

In any country the government tries to preserve the community and improve its conditions. In that respect the business has to extend its co-operation to the government. If the business discharges its responsibilities the government sincerely and effectively, the government can function more efficiently. This is in the interest of the whole community and indirectly in the interest of the business. The prospects of the business depend upon the status of the community. The development of business depends upon the development of the community; hence business has got to be very particular about discharging its obligations towards the government.

 

The prominent responsibilities of the business towards the government can be described as follows:

 

  1. To obey Laws

 

The laws reflect the wishes of the community, they show what the community wants the member to do and what the community wants the member to avoid. The laws control the behavior of the individuals with each other and with the community.

 

If business obeys laws the society can function smoothly and business can prosper only when the society is functioning smoothly but if laws are oppressive or obstructing the path of business, they can be opposed in constitutional manner. The business can take the help of constitution or the judiciary to oppose the laws and get them repealed. The Maharashtra government banned the sale of gutkha in Maharashtra state. The producers of gutkha approached the court which repealed the order of the government of Maharashtra on the ground that tobacco is in the jurisdiction of the central government.

 

  1. Payment of taxes

 

The expenditure of a modern government is heavy and is fast increasing. The main source of income for the government is the different type of taxes imposed by it. The business pays taxes on goods produced by them, taxes on goods imported by them, taxes on own income and taxes on the incomes of the employees. The bulk of the tax revenue is collected from business. If business pays the taxes honestly and on time the government can fulfill its responsibilities efficiently. If taxes are evaded by one group, the burden of taxation increases on some other group. Non payment of a tax is a political offence and also a social dishonesty.

 

  1. Social responsibility

 

In addition to the legal and political responsibilities, the business has to take up several moral responsibilities towards the society. Thus, the business has to provide training facilities for the unemployed persons so that they can get absorbed in some occupation or can setup self employment units. Several business houses established educational institutions, hospitals, libraries, recreation halls, playgrounds etc. for the community. This is helpful in winning them sympathy from the community. It is like an investment made by the business.

 

  1. Providing inputs to the government

 

Often the government requires inputs of technical economic financial or political importance for framing appropriate policies. The business has contacts in different sections of the community. They can be used for collecting the required information and providing it to the government.  Any action based upon accurate inputs has greater chances of achieving a higher success. For eg: before imposing a tax on   commodity the government likes to know the elasticity of demand for that commodity.

Other things remaining the same the government prefers to impose a tax on a commodity which enjoys relatively less elastic demand.

 

  1. Government Contracts

 

The government has to take up several works such as construction of roads, bridges, flyovers, airports etc. Sometimes these works are undertaken by the government departments but a more common method of undertaking that work is to invite tenders and give contracts to business. It is the responsibility of the business to complete the work in time and maintain a high level of quality of the work. A huge project like the sewi – nhava seva sealink can be conveniently undertaken with the help of business.

 

  1. Government Services

 

The business offers services of its leaders to the government to work on different committees. The business leaders have practical experience of a particular type of business. A committee appointed for doing  something in respect of that business is highly benefited if some prominent person from that field is appointed as the chairman of that committee or commission.

 

  1.  Active participation in politics

 

Sometimes the businessmen try to participate actively in politics. A member of the TATA family contested election to the lok sabha. Sometimes the leaders of the business are nominated to the Rajya Sabha so that the government gets the benefit of their practical experience of that field, but often the businessmen try to keep themselves away from active politics.

 


Like it? Share with your friends!

1
BMS Team

We, at BMS.co.in, believe in sharing knowledge and giving quality information to our BMS students. We are here to provide and update you with every details required by you BMSites! If you want to join us, please mail to [email protected].

141 Comments


Warning: Undefined array key "html5" in /home/bmsnewco/public_html/wp-content/plugins/facebook-comments-plugin/class-frontend.php on line 140

Facebook comments:

This Website Is For Sale. Email us an offer we cannot refuse on [email protected] :)

X
Choose A Format
Personality quiz
Series of questions that intends to reveal something about the personality
Trivia quiz
Series of questions with right and wrong answers that intends to check knowledge
Poll
Voting to make decisions or determine opinions
Story
Formatted Text with Embeds and Visuals
List
The Classic Internet Listicles
Countdown
The Classic Internet Countdowns
Open List
Submit your own item and vote up for the best submission
Ranked List
Upvote or downvote to decide the best list item
Meme
Upload your own images to make custom memes
Video
Youtube and Vimeo Embeds
Audio
Soundcloud or Mixcloud Embeds
Image
Photo or GIF
Gif
GIF format