02 March 2021

The Business of Business Is ...

I've posted several times about the purpose of the corporate form of business enterprise (here, here, and here). In short, it's not maximization of shareholder value. But if you don't believe me, you might find this short piece by Dallas Willard more persuasive. A teaser:

What is business (manufacturing, commerce) for? Today the spontaneous response to this question is: The business of business is to make money for those who are engaged in it. In fact, this answer is now regarded as so obvious that you might be thought stupid or uninformed if you even ask the question. But that is only one of the effects of the pervasive mis-education that goes on in contemporary society, which fosters an understanding of success essentially in terms of fame, position and material goods. However, that only reflects a quite recent view of the professions—of which we will here assume business to be one—and, even today, is definitely not the view of success in professional life shared by the public in general. No business or other profession that advertises its ‘services’ announces to the public that it is there for the purpose of enriching itself or those involved in it

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