[sokoloff]

Would society benefit if the output of that company were 25% more costly?

Let's say that the company sells a serving of food for $4, or clothing or clean water or some other neccessity of life, which would go up by 25% to account for the need of that company to feed 25% more mouths.

Suppose company A (your exemplar company) raises its prices from $4 to $5 and company B holds its price constant at $4 (and maybe works its staff 50 hours a week). Which company would you expect to be more successful in the marketplace? Which company would you expect would ultimately employ more people over time? I'd bet on company B.