The profit motive is an economic concept which posits that the ultimate goal of a business is to make money. Stated differently, the reason for a business’s existence is to turn a profit. The profit motive functions on the rational choice theory, or the theory that individuals tend to pursue what is in their own best interests. Accordingly, businesses seek to benefit themselves and/or their shareholders by maximizing profits.
As it extends beyond economics into ideology, the profit motive has been a great matter of contention.
Read more about Profit Motive: Economics, Criticisms, Counter Criticisms
Famous quotes containing the words profit and/or motive:
“For what will it profit them if they gain the whole world but forfeit their life?”
—Bible: New Testament, Matthew 16:26.
“The short lesson that comes out of long experience in political agitation is something like this: all the motive power in all of these movements is the instinct of religious feeling. All the obstruction comes from attempting to rely on anything else. Conciliation is the enemy.”
—John Jay Chapman (1862–1933)