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by stavros 208 days ago
That's not the only reason why businesses can exist. It's the most common reason in US culture, but there are other reasons and cultures.
1 comments

Tell us about a business that does not exist to make money.
First post:

> the pill to swallow is that most employees including managers are grist to the mill

Meaning that employees are disposable, and their only purpose is to produce value for the business.

Your reply:

> Businesses exist to make money. If you want a commune instead, join one!

Thus agreeing with the parent that the sole purpose of a business is to make money above all else.

My reply:

> That's not the only reason why businesses can exist.

Your reply:

> Tell us about a business that does not exist to make money.

This is rhetorical sleight-of-hand to change the counterpoint from "prove me wrong by showing me a business whose purpose is not to maximally exploit employees to maximize the amount of money it makes" to "prove me wrong by showing me a business that does not make money".

I could respond to the latter with an easy "some businesses lose money and exist because the owner finds the process fun", but you could counter with the No True Scotsman of "a business that doesn't make money is a hobby, not a business".

Instead, I will respond to the former, which is the original point, and say that there are plenty of mom-and-pop (or larger) businesses, as well as cooperatives, whose goals are not actually to exploit the worker to maximize the amount of money they make, but is primarily to give the owners a good work/life balance, or to help their community, or to be owned collectively by all workers.

The American-style "walk over anyone to make money" isn't actually the only way to do business, but the kind of person who thinks it is will generally make the tautological argument of "if you aren't maximizing your profits, you aren't a real business".

I infer you don't know of any particular business that does not exist to make money?

If you run a business that loses money, who is going to pay for those losses?

I know of no business that does not involve making money.

I know of many businesses for which making money is not the primary reason to exist. And the majority of businesses do not try to maximize profit at all costs, even when their primary reason for existence is to make money.

Random example: I know someone who teaches singing. She no longer employs other people, but has done so in the past. The IRS agrees that it is a business. She makes money from it and depends on the money from it. She has other skills that would earn her more money elsewhere. If her business made moderately more money but no longer taught anyone to sing better, she would stop running the business and do something else.

If you're going to say that the business's existence depends on the function of making money, as in if that purpose were removed then it would be called a hobby and not a business, then that's a No True Scotsman argument and it's pointless to discuss.

(Basically, I'm with stavros on this.)

> at all costs

There's that strawman again. The rest of your argument depends on that, and so is invalid.

I know lots of people who started businesses with the intention of making money (including me). None of them were willing to go at it "at all costs". I don't know where you get this strawman.

It's from the post you replied to, from the part you quoted:

> the pill to swallow is that most employees including managers are grist to the mill

You can't pretend that this part of the conversation doesn't exist simply because you didn't write those words. You were replying to someone who very specifically said this, you were agreeing with them, and to then basically claim "oh I didn't write it, I merely heavily implied it by agreeing with the parent" is disingenuous.

Dammit, Walter, did you not read any of the very extensive comment? It was an entire treatise about why that exact line is misleading and in bad faith, and you reply with it anyway?
It's not at all in bad faith. Businesses are formed to make money. If the IRS discovers that your business is not intended to make money, they will re-define it as a "hobby" and will not let you deduct expenses.

Surely you can give an actual example of a business not formed to make money?

P.S. When you talk about bad faith, I recommend that you do not invent things I did not write, put those things in quotes pretending that I did write them, and then argue with that strawman.

Your answer seems in bad faith because it ignores parts of the answer like this:

> "Instead, I will respond to the former, which is the original point, and say that there are plenty of mom-and-pop (or larger) businesses, as well as cooperatives, whose goals are not actually to exploit the worker to maximize the amount of money they make, but is primarily to give the owners a good work/life balance, or to help their community, or to be owned collectively by all workers"

Those are not hobbies and will not be categorized as such.

The point is that the goal of making money is not necessarily meant at the cost of crushing employees or considering them disposable. The person you're replying to is saying that's a very US-centric way of looking at businesses (e.g. maximize shareholder value even if it costs happiness) but that's not necessarily the only way of making money. It's very cynical to think it's the only way, because it reinforces the status quo (what are you going to do if you don't like it? That's business, join a commune instead!).

> Surely you can give an actual example of a business not formed to make money?

Why? That was never claimed. The claim was that businesses can have other reasons for existing in addition to making money. Furthermore, those other reasons can be a higher priority for a particular business.

FWIW, I enjoyed and agree with your thoughtful comment, and found the response disappointing. Having known privately-owned mom-and-pop businesses, I can confirm not everyone is out for profit at all costs, even in America. For some, it's enough to make ends meet doing something you're passionate about.
> I can confirm not everyone is out for profit at all costs, even in America

Definitely, I didn't mean to imply that every business in the US wants to profit at all costs, I just meant that the culture skews towards that. The US culture towards work tends to have a certain response to cases like one where someone has a popular product/service/business but would rather maximize work/life balance than income.

In other cultures, that's seen as much more of a reasonable choice than in the US, where the response tends to be more on the "I can't believe you're giving up tons of profit for more free time!" or similar.

You are arguing with "at all costs" which I never wrote, and so do not feel any need to reply to that.

Mom and pop businesses definitely do it to make money. They aren't charities. They pay taxes on the money they make. And if they don't make money, what are they going to live on?

Non-profits are not out to make money, but (again) they are not considered businesses.