What’s “good”? Maximized growth? Maximized returns? Having your face on the TV the most times you can? Making a name for yourself in your town? When you’re the owner, you choose what ‘good’ is because it’s your business.
And to my point, since the owner picks what is good, they will employ people whose output is valuable to the owner.
“good business practice” would be behaviors that are good for the long-term health of your business. These are objective, not subjective. You might want your face on the news but if it hurts, rather than helps, it’s poor business practice (just ask Papa John).
You’re still assuming that long-term health of the business is the ‘good’. You may think that’s good, and when you’re a capitalist, you can choose that as your goal. It may even seem like the most obvious goal. But it’s not the only one. “Good business practice” is whatever achieves the goals of the owner of the business. Otherwise, it’s not a good business, because a business exists to serve the owner.
Scenario: A business owner chooses to liquidate his entire company and shut down so he can retire. This is a good business decision, for him. But it is clearly not good for the long-term health of the business.
I can think up all sorts of things, but that doesn’t make those things good business practice.
What’s “good”? Maximized growth? Maximized returns? Having your face on the TV the most times you can? Making a name for yourself in your town? When you’re the owner, you choose what ‘good’ is because it’s your business.
And to my point, since the owner picks what is good, they will employ people whose output is valuable to the owner.
“good business practice” would be behaviors that are good for the long-term health of your business. These are objective, not subjective. You might want your face on the news but if it hurts, rather than helps, it’s poor business practice (just ask Papa John).
You’re still assuming that long-term health of the business is the ‘good’. You may think that’s good, and when you’re a capitalist, you can choose that as your goal. It may even seem like the most obvious goal. But it’s not the only one. “Good business practice” is whatever achieves the goals of the owner of the business. Otherwise, it’s not a good business, because a business exists to serve the owner.
Scenario: A business owner chooses to liquidate his entire company and shut down so he can retire. This is a good business decision, for him. But it is clearly not good for the long-term health of the business.