why are shareholders expected return to investment every time when money isn’t infinite and infinite growth isn’t possible

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Like you can’t expect everything to be a success and money isn’t infinite. Infinite growth can’t exist, especially for all shareholders around the world. And yet they expect full return on their investment whereas companies should focus on their clients who buy their products and employees who want to help the company and be rewarded but yet the bosses only seen to focus on making shareholders happy. There seems to have been a shift in this mindset somehow over the decades.

It’s naive on my part and it’s more complicated than what I wrote, but I’m curious and I would like to understand. Thank you for your help!

In: Economics

13 Answers

Anonymous 0 Comments

It sometimes happens that as a shareholder you realize your investment is never going to make profit for you. The sane thing to do in such a situation is to sell off your investment and recover as much of your losses as you can. If all current and potential shareholders think this is the case, it will be closed and it’s remaining assets will be liquidated. Because business is not charity, a company is not run to provide a service or to provide jobs, a company exists to make profit for the owners, because why the f would you want to own a company that doesn’t?

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