I have been on several occasions incorporation and general counsel and I am an attorney.. not trying to be pedantic. I have incorporated high-tech companies with structural protections to shield BOD's in a limited capacity from shareholders who might be demanding profit over other goals, particularly when the founders had concerns about that eventuality. I am not addressing what I think companies should be obligated to do one way or another. As for motivation... I think its easy to draw lines but really what companies are interested in ultimately is survival in my experience. Whether or not they choose a correct evolutionary path towards that goal or just hit an eventual developmental dead-end is often difficult to assess except in hindsight. From what I have observed... it is often the minute goals of the BOD and shareholder that give the aggregate appearance of profit motivation as the factors for survival share much commonality with making profit. That is not to say that worker safety or other concerns have no correlation with survival of the company but it is often harder for a BOD to quantify and assess that quality.
Nice philosophical conversation on what makes companies and their Boards tick and what they focus on.
In the end Cash is what Companies require to survive and prosper. Without cash they fail and disappear.
Profit is only a theory. You can hide profits but you can't hide cash.
The long term success of any company requires a supply of cash. Without it they die. Some take longer than others. Look at Apple's balance sheet and see how much cash they have accumulated. And also what they can do given the amount they have on hand.
eBizcuss, the largest Apple reseller in France, has sued Apple alleging that the company competes unfairly by favoring its own retail stores with new product inventory and by undercutting proposals to small businesses."
Comments
I have been on several occasions incorporation and general counsel and I am an attorney.. not trying to be pedantic. I have incorporated high-tech companies with structural protections to shield BOD's in a limited capacity from shareholders who might be demanding profit over other goals, particularly when the founders had concerns about that eventuality. I am not addressing what I think companies should be obligated to do one way or another. As for motivation... I think its easy to draw lines but really what companies are interested in ultimately is survival in my experience. Whether or not they choose a correct evolutionary path towards that goal or just hit an eventual developmental dead-end is often difficult to assess except in hindsight. From what I have observed... it is often the minute goals of the BOD and shareholder that give the aggregate appearance of profit motivation as the factors for survival share much commonality with making profit. That is not to say that worker safety or other concerns have no correlation with survival of the company but it is often harder for a BOD to quantify and assess that quality.
Nice philosophical conversation on what makes companies and their Boards tick and what they focus on.
In the end Cash is what Companies require to survive and prosper. Without cash they fail and disappear.
Profit is only a theory. You can hide profits but you can't hide cash.
The long term success of any company requires a supply of cash. Without it they die. Some take longer than others. Look at Apple's balance sheet and see how much cash they have accumulated. And also what they can do given the amount they have on hand.
eBizcuss, the largest Apple reseller in France, has sued Apple alleging that the company competes unfairly by favoring its own retail stores with new product inventory and by undercutting proposals to small businesses."
Talk about French 'whine'.