Business and Religion
Chapter 8 on making it real is about the concerns raised by the various groups and individuals that the author shared the book’s thoughts with. They include academicians, non-Christians, Christians, business leaders and theologians (Duzer, 2010, p. 169). The concerns that relate to various aspects ranging from profits, shareholders, the model’s practicality, choices when one can’t have it all and how to do business in the service model, to whether adopting the model can make a difference. In that view, the following is a summary of the main points raised by the author and the personal view on them.
On profit, the author argues that although profit maximization should not be the main goal for business, profit acts as a powerful tool, which helps businesses achieve the mission of service (Duzer, 2010, p. 170). I agree with the author as profit acts as a key source of funding that can be applied to better pursue the model given that aspects like quality improvement require resources.
Regarding the approach to the shareholders expectations, the author acknowledges that there are varying cases that can be viewed in different ways. For the easy cases where owners are responsible for business management, management, and the shareholders collapse into one, hence ease of deciding which model to pursue. On the other hand, a case that involves an agency model with separate management and shareholding, the author notes that the shareholders do not have a basis to complain regarding the management’s practices even when they do not reflect their desires. That is because, in many cases, the investors do not have express instructions on the ROI that businesses should pursue, and in other cases, the shareholders are mainly speculators rather than investors. Finally, they note that even in cases where the shareholders are investors, they do not have the power to direct the management to run businesses in a manner that is not consistent with God’s intent as he is the creator of all (Duzer, 2010, p. 179). In that case, I would disagree with the author given that the shareholders are the providers of capital, hence have a right to complain and direct management on ways of capital allocation. Otherwise businesses would have difficulty raising capital.
Regarding the question whether the business model can really work, the author notes that businesses should pursue the Godly model because it is the right thing. Also, they suggest that the faithful discipleship does not necessarily mean success, but the cost of honesty is worth paying (Duzer, 2010, p. 180). I agree with the view given that doing good regarding the service model would later translate to better returns for the shareholders although there would be a cost I the short run.
On what one could do when they can’t have it all; regarding running a sustainable service model and profit maximization, the author notes that businesses are all about decisions and the call for sustainability is aspirational. In that respect, they note that although it is not currently possible to have both, businesses can be run in the middle, but someday, it will be possible to operate a model that pursues the Godly purpose while avoiding harm people (Duzer, 2010, p. 186). I agree with the view given that the current business environment may not support the ability to pursue both, but requires a compromise between the two goals.
Regarding the question as to how one can do business in the way the author proposes, they note that people can choose to work only for organizations that represent the value of sustainable practices over profit maximization. On the other hand, those already having jobs could choose to do what is possible within their influence while they pray (Duzer, 2010, p. 193). I agree with the author’s view considering that people can make a choice of where to work and those with jobs have the ability to influence operations towards a sustainable service model.
Finally, on whether adopting the service model can make a difference, the author notes that it is possible to run businesses in a way that rejects the shareholders returns’ primacy and still be financially successful (Duzer, 2010, p. 196). I agree with the view as sustainable business practices could translate to financial success in the long run given that the service model would improve the brand image and motivation.
References
Duzer J. Van. (2010). Why Business Matters to God: And What Still Needs to be Fixed. Illinois: Intervarsity Press.
