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:
“Like all men who are Napoleonic in their ambitions ... he has instincts about the nature of growth, a lover’s sense of the moment of crisis, and he knew ... how costly is defeat when it is not soothed by greater consciousness, and how wasteful is the profit of victory when there is not the courage to employ it.”
—Norman Mailer (b. 1923)
“Not rarely, and this is especially true of wives and mothers, the motive behind assuming a disproportionate share of work and responsibility is completely unselfish. We want to protect, to spare those of whom we are fond. We forget that, regardless of the motive, the results of such action are almost always destructive and unproductive.”
—Hortense Odlum (1892–?)