[dgrin91]

(not my views, playing devils advocate)

PE strives to make things more efficient from a capital point of view. Business foois making $X in profit, and the PE firm's analysis says the can make X+Y dollars with some changes. This is 'better' because now the capital usage is more efficient and more can be spent in other places - new products, new jobs, new businesses, returns to investors, etc. And of course returns to the PE firm.

In principle an efficient economy is important on a macro scale - if all the business are stuck in how they were doing things 30 years ago then we would have reduced innovation and ultimately less jobs.

In practice there is of course a lot of money that flows back into the PE boss's pockets and.... thats it.

[OutOfHere]

It trades robustness for efficiency. It makes the business/service altogether less robust, unable to withstand shocks, unable to survive the tests of time.

[cyanydeez]

It shortens the outlook from years to months.