Re:A Message to the Apple Community in Europe
by notacoward on Thursday September 01, 2016 @03:05PM
(#12407992)
The primary purpose is to make/maximize profits because that's what the shareholders want, not as an essential part of being a corporation. Instead of trying to explain concepts like "duty of care" and "duty of loyalty" and "business judgment" further myself, I'll just leave that to someone better qualified.
https://medium.com/bull-market/there-is-no-effective-fiducia...
Dodge v. Ford Motor Co., 170 N.W. 668, 684 (Mich. 1919)
> A business corporation is organized and carried on primarily for the profit of the stockholders. The powers of the directors are to be employed for that end. The discretion of directors is to be exercised in the choice of means to attain that end, and does not extend to a change in the end itself, to the reduction of profits, or to the nondistribution of profits among stockholders in order to devote them to other purposes.
Although, there are examples where a court did recognize that helping employees will maximize profit, or not putting up bright lights next to a neighborhood is "moral". All of the decisions had to relate back to helping the shareholders. Most courts in the U.S. view shareholder profit as the #1 responsibility of the board of directors, others argue public safety might be #1, profits #2.
All of them agree that the primary purpose is to make/maximize profits, without which you can do nothing.