Saturday, December 7, 2013

Corporations - the nature of the beast

I was reading this book this morning and read this. I found it interesting enough to post here.

Corporations are bound by law to make decisions that produce the greatest profit for their shareholders. Profit-driven corporations disperse decision making across departments and formulize the process so that decisions with destructive outcomes are made by no single person.*

My questions: Does this also apply to entities that are a mixture of profit and nonprofit corporations? Where does the money-making mentality of one arm end and the charity mentality of the other begin? Or do they begin to swallow each other up, with either the money-making mentality or the giving mentality winning over the other? What shareholders profit? What if the corporate arm that is supposed to be nonprofit consists only of one person? How many persons are in the for-profit corporations that connect to it, I wonder? If only one entity is nonprofit and 75 others (to pull a number out of a hat) are for-profit, how can those for-profit corporations not taint the one nonprofit entity?




*The Good Life Lab - Radical Experiments in Hands-On Living, by Wendy Jehanara Tremayne page 162
They also have a blog - http://blog.holyscraphotsprings.com/

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