The Business Roundtable 2019 Statement on the Purpose of a Corporation

In 2019, the Business Roundtable, a group of prominent CEOs, released a statement emphasizing that the purpose of a corporation is not solely to maximize profits for shareholders. Instead, they advocated for a broader responsibility that includes serving all stakeholders—such as employees, customers, suppliers, and communities. This shift reflects an understanding that successful businesses thrive when they consider the interests and well-being of all parties involved, fostering a more sustainable and equitable economy. Essentially, it marks a commitment to create long-term value rather than focusing exclusively on short-term financial gains.