3 ms·
No, I don't claim to have "some sort of windows" into their minds, and I don't claim to know whatever their motives are. But I do see the pretentiousness behind
by vantran 17y ago
No, I don't claim to have "some sort of windows" into their minds, and I don't claim to know whatever their motives are. But I do see the pretentiousness behind what he claims it is.
Sure, they are working towards the benefit society. Anyone who has a job can justifiably claim so, unless they are doing something really evil/wrong. How? That is already covered by Friedman and Rodgers. When you work, you contribute to society in a particular way, and you can/should be proud of it.
Let's get back to Whole Foods. What is really the motive behind a business such as Whole Foods when they do something such as donate their 5% profit?
Mackey gives 1 reason himself: "There can be little doubt that a certain amount of corporate philanthropy is simply good business and works for the long-term benefit of the investors."
There, so 1 reason is precisely because it benefits the business, thus it benefits the shareholders. The business gains goodwill, an intangible, not taxable asset capable of generating future profit. Nobody is advocating that you should not love your society and donate a little. What's essentially being argued is your core interest. And to pretend that the investors don't have anything to do with it, well that's really just a cloak to disguise business motives.
If the core interest does not involve the shareholders, what happen if the business falls on hard time? Whole Foods may be doing well, but like I said before, what if it donated more and not getting the publicity/customers it wanted, while the business itself is failing? As a business goes through hard time, it will realize the importance of the shareholders interest, to avoid being out of business, which would serve society no good. Which is pretty much why Rodgers called Mackey's article: "How Business and Profit Making Fit Into My Overarching Philosophy of Altruism." To Mackey, what he thinks he's doing leads to profit. To Rodgers, it is profit that leads to what he did, and I agree.
Mackey also claims that it'd be justifiable even if his donation program did not generate PR/profit. To which I don't agree, on what grounds would it be justifiable when you are using someone else's money for your own interest? And also the part where he claims he "hired" his investors. I think Rodgers already talk about that. He can afford to say this only because Whole Foods is doing well. The donation program happened to serve the business needs but that doesn't mean the opposite.
Perhaps I'm not doing a very good job of explaining myself, but Friedman and Rodgers do have very good points in that article that pretty much sums up everything.
- DaniFong 17y agoThere are probably public services which would not be reasonable profit making entities but are very helpful for the society as a whole, and whose benefit is so widespread that it can only be repaid in collective good, goodwill, and/or taxes. For example, country infrastructure, primary education, healthcare, a security force, interpersonal relationships, religion, and love. Profit making organizations do sometimes create wealth and good operating out of their own self interest (though they also sometimes essentially steal it,) but there are other parts that need to function for society to be whole. That is the purpose of philanthropy: supporting the growth and perpetuation of businesses currently unable the pull together the resources themselves (efficiently, if possible, though not driven be the desire for maximum investor return.)
- vantran 17y agoSure, I don't doubt that. I'm all for supporting those public services sorely needed by society. But don't make it into the business's altruistic ideal it not really is. In the case of Whole Foods, I just don't buy it. Whole Foods isn't just about natural and organic food, the food literature in there is amazing. It's not the food that's great, it's the food description that really got people to buy. For example: "Free-range" is no more than a little door which remain shut until 2 weeks before the chickens are slaughtered for food, and by then most of them don't even dare go out because they are already used to their crowded shed. Of course, customers aren't aware of these things, so it remains great business.
- DaniFong 17y agoWhole Foods is just one case. But it sounds as if nothing will convince you that businesses can be run in accordance with humanistic ideals, holding profit making as important and excluding everything else. What makes you think that we become automatons as soon as we have shareholder responsibility? Have you ever run a successful business? I come from a family of entrepreneurs, and from that vantage point I can tell you that more often than not someone working for the good of other would be repaid in kind, while those strictly out for themselves faltered. But it was not that the increased likelihood of increased success caused them to pander to the public, looking for a cut. They continued during the worst of times, for their customers, suppliers, employees, themselves. They persisted when hope ran out, and some failed. But they tried and tried again, driven by that same basic goodness, until something clicked.