Corporations (public ones at least) have a fiduciary responsibility to
maximize return on investment for their shareholders -- that is to
maximize profit! Period! However, over what timeframe they maximize
profit is open to interpretation. 

For example, I could make a toaster that cost $1 to make and sold for
$50 and I'd make a killing in the short term. Of course if the reason
the thing cost $1 to make was because it was unsafe, started fires, and
killed people, in the long run I would loose so much money that it
wasn't a good business decision. The business took too short-sighted a
view of maximizing profit. 

On the other hand, if I spent $49 to make that $50 toaster I'd probably
have the safest toaster on the face of the planet, and over 1000 years
I'd make a ton of money, but no one that was alive today would care --
the company took too long-sighted a view of maximizing profit.

The trick is balancing risk/time/investment and return. And it's not an
easy thing to do.


Walden H Leverich III
Tech Software
(516) 627-3800 x11

Quiquid latine dictum sit altum viditur.
(Whatever is said in Latin seems profound.)

As an Amazon Associate we earn from qualifying purchases.

This thread ...

Follow On AppleNews
Return to Archive home page | Return to MIDRANGE.COM home page

This mailing list archive is Copyright 1997-2021 by and David Gibbs as a compilation work. Use of the archive is restricted to research of a business or technical nature. Any other uses are prohibited. Full details are available on our policy page. If you have questions about this, please contact [javascript protected email address].

Operating expenses for this site are earned using the Amazon Associate program and Google Adsense.