"I wonder why so many people think “profit” is a dirty word? I'm sure politics has a lot to do with it, but in any case, I think of profit as a tip I gladly hand over to the businesses who have learned how to supply what I want at a price I can afford. It’s my way of saying to those businesses, “Thank you for supplying a product of this quality at this price; you're offering me a better value than your competitors are. I’m voting with my dollars, and this time your product is the winner.”"Yeah this is an interesting thing ... up untill ten or fifteen years ago I sort of felt that way ... that if a company was making a profit then that was somehow my loss. Thus I was constantly irked that people were "ripping me off" by profiting from my purchases of goods or services. Fast forward to today - I don't know why I felt that way ... I guess it was an attitude picked up from family or friends or media. But as the skeptical optimist points out, its a ridiculous way of thinking about purchases -- mainly because we really do live in a world of constrained resource ... scarcity. And when I finally buy something, its because I feel like the whatever-it-is is more valuable to me than the money; otherwise I wouldn't buy, it natch. So this automatically means that I feel like the product or service is improving my life more than simply having that money would -- good for me and good for them ... the essence of why trading, in general, is wonderful.
Monday, April 30, 2007
The Skeptical Optimist:
Profit: Our “thank-you” to effective businesses: