What is the relationship between the company’s profit and its integrity?

It depends on whether it is viewed with short-term thinking or long-term thinking.

Basically, this is a question of whether a company and its staff values profit or integrity more. But, it is a trick question, since integrity and profit go together in the long run.

A short-term thinking management and staff might think that taking advantage of their customers and overcharging them increases profits, and it is true that it might do so in the short-term. But there is a cost. A big one. And that is their reputation and customer satisfaction.

And what happens when you consistently screw over your customers? Over time, they go somewhere else. Anywhere else. A competitor with more integrity can and will take the customers from a company with no integrity.

The only time this does not happen is if there is no viable competition. This is why greedy companies love monopolies. A better company with integrity can’t steal their customers if there is no meaningful competition.

Contrast that with a company with integrity. They do something the company with no integrity can’t, and that is build customer loyalty. Customers that will keep coming back again and again because the company treats them fairly and with integrity. And this translates to more sales which translates to more profits.

If you are thinking long-term, you will see that profit and integrity are actually aligned, while if you are thinking short-term, you might get short-term profits at the expense of your future success.

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