Re: HP laying off 25,000 employes!

<snip>
>The second one posts a profit that is probably TEN times the
>firsts. It's got to be ten times better, right?
<----------
And this is the crux of the problem because it all depends on
your "investment" [or speculation] strategy, and the influence
you have with the directors of the company.

If I am a graduate of the Attila-the-Hun School of Business and
Management, working for the Engulf & Devour Corporation [AKA Gulf
& Western] the second option is by far the most attractive. It
provides immediate profits with minimal to non-existent risks and
no future liabilities (at least those arising from the specific
transaction) if it is structured correctly.

While the first option is the socially responsible one, it does
not maximize ROI [return on investment], requires continual
investment to maintain plant, equipment, and product, and
requires a long-term commitment of capital. Additionally,
governmental policy may be changed at anytime so that continued
operation is no longer financially viable (e.g. environmental
controls], or competitors may be subsidized in foreign countries
with the taxes paid by the going business [e.g. an entire series
of foreign investment and foreign aid programs ranging from the
USAID to the World Bank]

The real puzzle is not which alternative is "better," [a value
judgment and subject to endless debate] but how/why there are
*any* businesses left in the United States, other than
convenience stores such as the ubiquitous 7-11. Apparently, any
businesses remaining are not worth "rolling up" and liquidating.





.

Relevant Pages

  • Re: Why unemployment could hit 14%
    ... Maybe the biggest of these problems is that economics is really a branch ... But the boss controls how the spoils of the business are divided ... The problem with profit seeking investment, ...
    (sci.econ)
  • Re: Federal Debt
    ... Your Nation has a system of speculative business investment, ... rule most businesses as they press workers in the dust providing ... The profit in your company was $ 400,-. ...
    (sci.econ)
  • Re: Why no interest?
    ... It is not necessary to have a *for profit* based business ... use of money, and profit is return on investment. ... a social money investment sector - or indeed none at all. ...
    (soc.culture.jewish.moderated)
  • =?utf-8?Q?Re:=20Purchase=20share?==?utf-8?Q?s=20of=20an?= =?utf-8?Q?=20AUDL=20franchise=
    ... investment and obviously a lot more details are required. ... So if a company made $10 million in profit last year it's ... combination of the longevity of the business (ie it's over ... ticket sales would account for 50% of revenues, ...
    (rec.sport.disc)
  • Standing room only at investors forum in Phnom Penh
    ... Representatives of foreign companies who registered to attend the 5th ... Business Roundtable heard much about the new Cambodia - the one that's ... promote trade and infrastructure investment. ...
    (soc.culture.cambodia)