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Squeezing Customers does not automatically follow from Serving Shareholders. A healthy coorporation has these aligned: serving customers well, treating workers
by berkes 5y ago
Squeezing Customers does not automatically follow from Serving Shareholders.
A healthy coorporation has these aligned: serving customers well, treating workers well results in shareholder value.
- midasuni 5y agogetting rid of 1% of customers to save 10% of expenditure is generally a good move. You can have 99% of customers are happy even if 1% are quietly given food poisoning and die, which is why we have laws to protect that 1%.
- berkes 5y agoAs Tim Ferris shows brilliantly in his famous book (four hour workweek) "Firing customers" can be greatly benefitial to all. Or, to stay in your analogy: striving to make a food that is 100% safe for 100% of the people will result in bland, poor food. It's fine to use gluten in your bread, or peanuts in your sause, even if x% of potential customers will get sick and can die, if they eat it. Fire those customers. Be clear: this is not for you. It makes the other customers happier. And consequently your stakeholders happier.