👋 just the same one I brought up previously, which is that being for-profit probably provides a massive fitness benefit in the Darwinian world of business. I have some theories about what that fitness advantage is—I favor the advantages brought by the opportunity to raise startup capital by offering early investors potential outsized rewards—but the truth is I don’t know, because I’ve never run a business, and I’ve never been part of a massively growing business. Have you?
Elsewhere, you say “The only thing keeping such firms from thriving and offering a huge multiplier opportunity is that we haven’t created an environment of public awareness of the opportunity.” I am afraid that this is not so self-evident to me as it is to you. The only credible way to prove this point is to go out and do it, until then, it makes sense to presume a fitness advantage for companies doing things the traditional way.
Currently many successful firms exist where large ownership stakes are separate from involvement in management.
Sure, incentives derived from high equity by founders/early employees is a factor in some contexts, like startups. It isn’t clear that PFGs couldn’t offer similar incentives, for instance by offering high money buyout provisions.
You refer to an ostensibly indispensable “fitness advantage” without considering that it isn’t present in existing firms and similar incentives couldn’t be replicated in a PFG context.
👋 just the same one I brought up previously, which is that being for-profit probably provides a massive fitness benefit in the Darwinian world of business. I have some theories about what that fitness advantage is—I favor the advantages brought by the opportunity to raise startup capital by offering early investors potential outsized rewards—but the truth is I don’t know, because I’ve never run a business, and I’ve never been part of a massively growing business. Have you?
Elsewhere, you say “The only thing keeping such firms from thriving and offering a huge multiplier opportunity is that we haven’t created an environment of public awareness of the opportunity.” I am afraid that this is not so self-evident to me as it is to you. The only credible way to prove this point is to go out and do it, until then, it makes sense to presume a fitness advantage for companies doing things the traditional way.
Currently many successful firms exist where large ownership stakes are separate from involvement in management.
Sure, incentives derived from high equity by founders/early employees is a factor in some contexts, like startups. It isn’t clear that PFGs couldn’t offer similar incentives, for instance by offering high money buyout provisions.
You refer to an ostensibly indispensable “fitness advantage” without considering that it isn’t present in existing firms and similar incentives couldn’t be replicated in a PFG context.