Companies exist to create returns. But companies that are in business are the economic equivalent of slugs: at the bottom of the evolutionary ladder of returns. They’re tools to (merely) create financial returns for shareholders: profit. Yawn. That’s the most basic, most prehistoric, and most threadbare, narrow, myopic, uninteresting, uninspiring, and just plain one-dimensional kind of return imaginable. Companies in better- ness blow past that obsolete, outdated, tired, threadbare industrial-age idea: they have the ambition to return more than just financial capital. They are economic engines for returning the many different higher-order kinds of capital, because financial capital is the least valuable, enduring, and meaningful kind of capital.
January 6, 2012
Uncategorized
Betterness: Economics for Humans, Umair Haque, 2011