Comment Re:She's feeling abused? (Score 1) 230
If you believe a company is "socially responsible", you've been duped
by its PR firm. Companies are responsible to society only insofar as
it increases their profits.
For a public corporation like Novell every decision is simply a matter
of short-term financial accounting. Impacts to public welfare,
environmental damage, working conditions, patriotism, human safety,
morality, etc. are relevant only if there is an anticipated financial
impact on the business. Corporations are legally obligated to
_maximize_ profits. Profit is the only motive. They can't just earn a
decent return, they must maximize.
If a single executive doesn't pursue maximum profit, his boss fires
him. If the top executives don't, the shareholders sue.
The classic example is the founding of the Dodge automotive company.
Essentially the Dodge Brothers collected the capital to expand their
business by suing Henry Ford for paying his workers well. The court
decided that Ford set wages too high and therefore had denied profits
that rightfully belonged to the shareholders. Since Ford was
notoriously fickle, there is some debate if he was actually
overpaying, but nonetheless the precedent was set that profits always
come first. http://en.wikipedia.org/wiki/Dodge_v._Ford_Motor_Company