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by Crusoe123
1704 days ago
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Of course they do. That leader would get the boot ASAP if he chooses any goal other than making money as he is behest to investors who expect a maximized return to their investment. Companies where your scenario can play out are the exception and not the rule. Not that the motivations you wrote are much better for society. I am speaking here about large companies that can have impact on a societal level, not your small mom and pop business. |
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In big corporations there are so many investors that they are hardly organized. And even if they are it's a difficult problem to incentivize a manager correctly. It's a topic with a lot economical scientific research. In theoretical terms it's called the principle-agent problem.