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> is profit-maximization a law? If we are talking about Public Companies, yes. Privately owned ones can do whatever they want, but in practice the ones that do
by crpatino 12y ago
> is profit-maximization a law?
If we are talking about Public Companies, yes. Privately owned ones can do whatever they want, but in practice the ones that do'nt care about the bottom line tend to be driven out of the market by those who do.
> because i don't see why for example a company can't be formed for the purpose of "betterment of humanity"
Those are called NGOs.
- dragonwriter 12y ago> > is profit-maximization a law? > If we are talking about Public Companies, yes. Please cite the relevant law.
- hn_ 12y agoCompanies have what is called fiduciary duty to their shareholders. http://www.legalmatch.com/law-library/article/corporate-fiduciary-duties.html http://www.legalmatch.com/law-library/article/corporate-fidu...