profit motive

Desire for gain

The profit motive is the drive to earn money beyond costs—the incentive that supposedly animates business decisions in capitalist economies.

Economists treat it as a fundamental assumption: firms maximize profit, and this pursuit coordinates production and innovation.

Critics argue the profit motive distorts priorities, putting shareholder returns above workers, consumers, or the environment: The profit motive explains why drug companies charge what the market will bear.

incentive

motivation

Impetus toward a goal

reward · inducement · stimulus · impetus · aspiration · entrepreneurial spirit · risk-taking · opportunity · initiative · competition

economics

market forces

Supply-demand price drivers

resource allocation · scarcity · opportunity cost · marginal benefit · value creation · productivity · economic growth · trade · exchange · capital

capitalism

entrepreneurship

Creating and managing ventures

laissez-faire · neoliberalism · shareholder value · corporate greed · wealth accumulation · industrialist · tycoon · magnate · commodification · exploitation

business

revenue

Business income total

dividends · monetization · valuation · margins · earnings · quarterly results · cost-cutting · efficiency · overhead · fiscal

critique

greed

Excessive desire for wealth

unethical · predatory · price gouging · environmental harm · externalities · public good · social cost · unsustainable · whistleblower · accountability

Categories
Opposites
driving purpose

profit motivealtruism

Prioritizing others' wellbeing

philanthropy · public service · humanitarianism · benevolence · selflessness

economic philosophy

profit motivesocialism

Communal economic control

communism · collectivism · public ownership · central planning · gift economy

ethical orientation toward wealth

profit motiveselflessness

Prioritizing others over oneself

disinterestedness · generosity · self-sacrifice · asceticism · renunciation

Family

profit, motive, profits, profitable, nonprofit, profitless, unprofitable, profiteer, profitability

Familiarity
Top 200,000
Profile
Used worldwide · Timeless · Abstract · Everyday, not technical · Rated G