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by Sloppy 544 days ago
Now maybe AI will buy their products?
1 comments

It never makes sense to employ people as a jobs program, just so you can get more customers.
henry ford essentially created the middle class with the approach that you are saying "never makes sense"
Is there any evidence for that claim aside from it being an oft-repeated tale on the internet? Mathematically it can't possibly work, because you're spending $80k (or whatever) on an employee that might spend $30k on a car every 5 years, so paying $80k/year to get $6k/year in revenue. It's actually worse than that, because Ford only makes around 15% gross margin, so at best that's $900 of money you get back for spending $80k on an employee. That's so low that Even if you account for money multiplier effects, it's unlikely you'll get anywhere near break even.