Greed is Good

Money is a symbol used to denote perceived value. If you create something that someone else perceives as adding value to their life, then they may be willing to trade money for that value.

If you focus on creating one specific good, then it will become easier (and less expensive) for you to create that good. Other people who want your product but have not taken the time to produce it, will be happy to give you some of their money for the goods you focused on producing efficiently. Both parties gain because the producers are happy to get money for the products they can produce inexpensively, and the customers are happy to get products of a greater perceived value than the money they paid.

Theoretically in a perfectly competitive market: The producer’s cost to create and market a good minus the purchaser’s cost to get the same type of product elsewhere equals the profit earned by the producer. In other words, the value added to the customer’s life by buying a product equals the profit earned by the producer.

A truly greedy business person wants to make as much money as possible by maximizing profit. The best way to earn profits is to build an efficient organization that comes up with and markets ideas that help other people. A person who lies, cheats, or steals can also make money, but honest businessmen, not criminals, make the most money in the world. If criminals were more greedy, they would stop breaking the law for petty cash and start making much more money by developing profitable honest open companies.

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