3 ms·

> Extracting the maximum amount of money possible is the primary purpose of a company. Is it really though?

• p_l 2y ago
  It's really not, but certain economist pushed such idea a lot to the point people think it's a law (and pushed it in business ethics context to make it funnier)
• wongarsu 2y ago
  Not really. For public companies the primary goal is creating the highest possible stock price, or in rarer cases high dividends. Extracting as much money as possible is a common strategy for achieving that but it's not the only one. And arguably the strategy is used way more than it should be. Boards tend to set up bad incentives for the company leadership. For private companies the goal is whatever the owner wants. That can be profit, but often it's about legacy. Or something entirely different. As far as we know SpaceX's purpose is indeed to create a self-sustaining mars colony