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You can run a business with negative profit (say, to capture market share or using a loss leader), but you can’t run a business with negative production. Produ
by jorvi 3y ago
You can run a business with negative profit (say, to capture market share or using a loss leader), but you can’t run a business with negative production.
Production is essential to a business and profit is not, strange as that may seem.
- ToValueFunfetti 3y agoWhat does negative production mean to you here? I can run an incineration business or a demolition derby, as long as I get paid to do so. If that doesn't count as negative production (because I'm producing space or entertainment value; potentially at a loss to acquire market share), what does? If negative production is a physical impossibility, the claim that you can't run a business with it doesn't tell us anything about business.