Profit motive vs. LO LO23490

Arnold Wytenburg (arnold@originalthinking.com)
Mon, 6 Dec 1999 10:29:53 -0500

Replying to LO23478 --

Brian,

Some food for thought....

I have always shared in Peter Drucker's opinion that profit is part of the
cost of doing business and not the reason for doing business. A business
that focuses only on profit quickly becomes too short-sighted and
narrow-minded to remain sustainable over time. As for setting corporate
sights on the greater good, Ronald Coase's economic theory provides
critical insight: the sole purpose (and societal role) of a business
venture is to remove or eliminate friction from the transactions which
occur between and among parties within the marketplace. Also, a company
possesses no soul and is not a thing which engenders trust. Those are the
exclusive province of the people within the organization--corporations are
merely tools--legal fictions--which people use to realize their personal
aims and objectives.

Cheers, Arnold

-- 

"Arnold Wytenburg" <arnold@originalthinking.com>

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