Profit and Sharing

Paul Catipon, CEO of Netpro, found himself making a lot of profit, and so he was faced with a question: what to do with all the profit? He chose to not take it for himself (although he was the sole owner of the company) but rather to keep it in the company, which then enabled him to keep paying employees when times were difficult. The profit which was his he did not take for himself, but used it for the good of others.

Discussion Questions

1. What is the purpose of profit?
2. Typically in business, we assume that once the owner pays the workers their agreed on wage, and then covers the necessary expenses of maintaining and growing the business, the remainder (profit) is the owners to do with what they want. EoC entrepreneurs agree with all of that, but they actually think that profits should be used for the good of others, not just myself. What do you think of that idea?
3. EoC approach to business aims to work in a free market where people are free to own things, make money, and do what they want with their money. But it calls on people to share what they make, not only through charity, but by being generous to others. Do you find that model attractive? Do you find it practical?