More Than Profit

In Built to Last: Successful Habits of Visionary Companies, Jim Collins points out that the most successful companies do not exist first and foremost to maximize profits. He writes:

Contrary to business school doctrine, “maximizing shareholder wealth” or “profit maximization” has not been the dominant driving force or primary objective through the history of the visionary companies.

Visionary companies pursue a cluster of objectives, of which making money is only one — and not necessarily the primary one.

Yes, they seek profits, but they’re equally guided by a core ideology — core values and sense of purpose beyond just making money.

Yet, paradoxically, the visionary companies make more money than the more purely profit-driven companies.