Last February, CVS Pharmacy vowed to quit selling any tobacco products. This act by the US’s highest earning drugstore goes against everything Milton Friedman believes in, as stated in his article, “The Social Responsibility of Business is to Increase its Profits”. According to Friedman, the only social responsibility a business faces is to create the highest possible profit, while following the rules (178). As he makes many interesting points, I agree more with what Ed Freeman states in his video, “What is Stakeholder Theory?”. In this video, Freeman lists all different circumstances of when a business is in decline. One of his descriptions of a business in decline includes: not a good citizen in the community, doesn’t pay attention to quality of life in the community, doesn’t pay attention to issues of corporate responsibility, etc.
I believe that CVS banning the sale of any tobacco products in their stores was them paying attention to the quality of life in their community. Sure, they will lose a couple billion dollars in sales ($123 billion in sales for 2012), but as a company that helps people cope with conditions from smoking, how can they sell products that cause those problems? Personally, I believe a business must maximize their profits, but if they can help with issues in our society, then that must be a priority of theirs as well.
picture from: https://tineis.wordpress.com/2014/02/10/cvs-quits-smoking-for-good/