2 ms·

You may see it applying to managers and execs as well, but it's (almost) never applied to them. It's always "growth didn't meet expectations, gotta lay off an e

You may see it applying to managers and execs as well, but it's (almost) never applied to them. It's always "growth didn't meet expectations, gotta lay off an entire division", never "profits are down, gotta cut the CEO's salary from $300 million down to $125 million—hope he didn't want to buy three yachts this quarter!" We've spent far too long worshiping at the altar of Number Go Up. That is not the purpose of companies. They exist, fundamentally, to improve life for real people, and too many people have lost sight of that.

fairity 4y ago
> That is not the purpose of companies. They exist, fundamentally, to improve life for real people, From where do you get that idea? From a legal standpoint, the purpose of corporations is ambiguous (take a look at the Articles of Incorporation for any of these corporations for details). Corporations are simply a legal structure to protect officers from liability, define decision making power, and distribute profits to shareholders. Ultimately, the board has the power to control company direction. So, to the extent that there's a "fundamental purpose of a company", it is whatever the board wants it to be. And, in almost all cases, that purpose is to maximize profits. I can understand if what you're saying is that you WISH all corporations' fundamental purpose was to improve life for real people, but that simply isn't reality, legally or practically.