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Good for CL for sticking to its guns. It may sound ironic, but profit maximization does not have to be the sole purpose of a business.
by raheemm 17y ago
Good for CL for sticking to its guns. It may sound ironic, but profit maximization does not have to be the sole purpose of a business.
- iamwil 17y agoAs a business philosophy, I've always found this difficult to explain to people. One could do profit maximization, but often at the expense of something else less measurable, such as customer loyalty.
- misuba 17y agoThere are cases where asking for money would actually make the site deliver more value to everyone - personal ads, for example.
- chops 17y ago..such as customer loyalty ...the result of which is usually more profit.
- iamwil 17y agoYes in the long run, but it's one step removed from something more immediate like cutting cost or selling more. Immediate financial benefits Cutting cost in general sounds good, but I think it should be taken in context of everything else. Sometimes, business decisions are made without looking that one step ahead. If St. Exupery is right at all about longing for the immenseness of the sea, I think just because you can profit max your customer, doesn't mean that you should. Especially if you inspire to something your customers can believe in, and if profit maximizing would take away from that belief.