Greed is Good

Is greed good? The word “greed” itself carries a negative connotation. We’re taught at a young age that the idea of greed is wrong; it’s even one of the seven deadly sins. However, perhaps it isn’t as bad as we’re lead to believe. Though I think, like many things, it is best in moderation. Greed can help drive a healthy business environment, yet too much greed can lead to shady practices that in turn lead to a company’s downfall. Greed can lead to a competitive business environment, and competition between companies is often good for the consumer. Greed is what drives a company to make a profit. Greed is also what entices an individual to become a stockholder in a corporation in hopes that they will get a significant return. If these stockholders have a quorum, “the minimum number of shares necessary to be present at a meeting” (Essentials of Business Law, Liuzzo, 268) then they may even have a hand in how things are run by voting in directors, and those directors then appoint officers to handle the day to day tasks of the corporation. These directors and officers then have a fiduciary responsibility to the shareholders. “Fiduciary responsibility means that directors and officers will exercise their authority while working under a duty of loyalty and a duty of care.” (Essentials of Business Law, Liuzzo, 270) This means that they have a legal and ethical obligation to work diligently and prudently with personal integrity, honesty, and candor. In the end, they have a responsibility to make money for their shareholders. However, greed to make this money can lead to people doing thing illegally. Doctoring their financial records, selling to companies that don’t really exist, and many other things that can be considered both torts and crimes. This is where greed gets us into trouble. Many of the economic problems we have right now come from excessive greed, and the shady dealings of those consumed by the bottom line.