GMAT Essays (AWA)

Please can some give me some feedback on my first Analysis of an issue.


Executives at publicly-traded corporations are bound to serve the interests of their shareholders. This inherently creates conflict because the company's desire to maximize profits conflicts with the general welfare of the nation-at-large.


The author suggests that the "desire of corporations to maximize profits conflict with the general welfare of a nation at large. In some cases corporations drive to secure the highest profits, may have a negative impact on the welfare of its surrounding communities. However in my opinion the profits of a company are directly linked to how socially aware and responsible a corporation is.

Most companies strive for the "X-Factor", something to set them apart from the competition in the consumers mind. What better way to do this than by building an image based on social responsibility. A good example of this is the very successful company, The Body Shop. Who have built their success and reputation on ethical values.

A Company’s success and profits is strongly tied to its reputation. A reputation that can be destroyed in a matter of minutes with some bad publicity. Take for example, Sasol in South Africa. They used to be one of the most popular petrol companies. They had become a household name, through clever advertising campaigns. Recently they received some bad publicity over an environmental issue and their share price plummeted.


In summary the success and ultimately the profitability of a corporation is strongly reliant on the social awareness of the corporation. If corporate invest in the general welfare of their communities they will maximize their profits and the welfare of the nation at large will benefit.