Why is profit maximization by itself an inappropriate goal?

Answer

Many would argue that seeking profit maximization IS an appropriate goal. However, there are instances where profit maximization strategies hurt overall public welfare. In the case of a monopoly, a business will overcharge consumers for goods or services. While the monopolist is only seeking to maximize his or her profit, public welfare is actually decreased and many argue that government regulation in this area is desirable.

Answer

Maximize your income, minimize your outgo. Maximization of profit is not inappropriate. It is inappropriate to plunder, but this is not maximization of profit because it's plunder and then the so called "profit" becomes theft. It is inappropriate to try and convince people that it is inappropriate for a business to maximize their profits. Maximization of profits is the purpose of doing business.

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