Where does profit come from?

[Cyclone]

Where does profit come from?

 

From ripping people off

 

No, it comes from the difference in the cost of providing a service or goods and the sale price of said service or goods.

 

If there was no profit to be made, the goods/service would simply not be available for sale at all.

[lil-minx92]

Do you think the shop is free of rent or the shop fitters who created it worked for free? Do you think the people in the shop serving you work for free? Do you think the electricity is free or the water?

 

Eh? What shop??

 

---------- Post added 05-12-2013 at 15:11 ----------

 

Don't be silly. profit pays for the service and the business to run that provide you with the product.Try buying 1 packet of cheese and onion crisps from Walkers and see if they will sell you in such small quantity?

 

No it doesnt. Profit is what is left after. In your scenario you are breaking even. I wouldnt go into business with you. And dont be rude.

[Anna Glypta]

No, it comes from the difference in the cost of providing a service or goods and the sale price of said service or goods.

 

If there was no profit to be made, the goods/service would simply not be available for sale at all.

 

You can't expect someone in the public sector to understand logic like that.

[SevenRivers]

Does anyone remember what happened to savers and pensioners in Cyprus. Ever heard of the term Bail In? The Banks in the UK were Bailed OUT, by the governments, where money from the government Bailed out the financial sinking Banks that could not pay their debts, as they were bankrupt economically and morally.

 

Well a Bail in is where customers accounts are grabbed, frozen, and accounts can be reduced as you know by the touch of a button, which is how you pay direct debits and oterh payments. In a Bail In, the banks cream off a percentage of the depositors, and current account holders, thus its an in house procedure.

 

Conditions in Cyprus necessitated the grabbing of private accounts, it was a sudden overnight decision, thus proving laws can be changed instantly to meet current conditions. The banks got away with it in Cyprus, acting like gangsters running a protection racket, it was a perfect criminal act, which was legalised just for the bankers.

You cannot do this sort of thing as you will be prosecuted.

 

 

A major conference on the future of banking this week, heard contributions on a European banking union which is being negotiated by Eurozone finance ministers. One of the aspects of that union will be a ‘bail-in’ of deposits when banks fail in the future. Michael Noonan, Ireland’s Minister for Finance confirmed yesterday that bail-ins or deposit confiscation will be used.

 

The name of this theft process is called, the Single Resolution Mechanism was agreed last June in Council under the Irish Presidency Which I informed people about. The proposal provides a common framework of rules and powers to help EU countries manage arrangements to deal with failing banks at national level as well as cross-border banks, whilst preserving essential bank operations and minimising taxpayers’ exposure to losses.

 

The era of depositor bail-ins is coming, if legislation is anything to go by.

 

Preparations have been or are being put in place by the international monetary and financial authorities for bail-ins. The public are unaware of these developments, or the risks and the ramifications they have for individuals.

 

It is now the case that in the event of bank failure, your deposits could be confiscated.

 

We are not alone in this conspiracy to rob the resdent population's as not just the UK but the EU, the U.S., Canada, Australia and New Zealand all have plans for bail-ins in the event of banks and other large financial institutions getting into difficulty. So now you might realise how important it is to have mass surveylance programs, as button pushing can exert powerful effects. Troublemakers could have their accounts frozen, or suspended, for a time, as accounts, medical records in fact all records are in a file just made for you lucky individual's.

 

OK so its banks making sure if the worst happens, but then why not wake up to how the banks perpetrate fraud, the fines over the last 2 years, for global manipulation of all trades, from interest rates, money laundering, and commodity prices, hence fuel and energy are also in the mix. All this guarantees increasing profits and bonuses, which can be used to buy influence, through what we call favors, and others call bribes. So politicians are puppets in the game play, and we the audience are being constantly exploited, through higher bills, and lowering wages, and not forgetting encouraging personal debt, mainly though house purchases.

 

Have the financial cartel, like the energy cartel have your interests at heart? Would caring affect profits? What is the financial industries bottom line? Might it be profit? How is profit generated, and who pays for profit of others. Ever wondered where profit comes from? Fairies?

 

Profit is what makes an enterprise worthwhile.

 

If I buy a product from a manufactrurer or distributer at wholesale price, and I have all the overheads of buying and selling the product, the effort put in to running the business etc, what would be the point in doing that if you only cover your costs? How would you grow the business if all you do is get back what you've paid out?

 

Profit drives innovation too.

[spilldig]

I do wish you'd comment on the content of erebus's posts, rather than quibbling about the source. It's probably not the result of a single source but a lot of research which other people can't be bothered to do.

 

The Cyprus bail in is a well known fact. And, more importantly, they got away with it.

 

Do you really think it couldn't happen here? Do you think our economy is thriving

as the chancellor would have us believe, when we are still indulging in quantatative easing and our debt is still growing?

 

These are the things which should be attracting your attention.

 

It's already happening here due to savers interest being held below the inflation rate.

[WeX]

Eh? What shop??

 

---------- Post added 05-12-2013 at 15:11 ----------

 

 

No it doesnt. Profit is what is left after. In your scenario you are breaking even. I wouldnt go into business with you. And dont be rude.

 

Not really, a director is paid out of profit of a company, via dividends. This is about the only method for profit not to change to a cost and thus cease to be profit and so no longer subject to corporation tax.

 

Dividends are also what pays your pension.

[lil-minx92]

Not really, a director is paid out of profit of a company, via dividends. This is about the only method for profit not to change to a cost and thus cease to be profit and so no longer subject to corporation tax.

 

Dividends are also what pays your pension.

 

Clearly you either dont know what you are talking about or are trolling

[WeX]

Clearly you either dont know what you are talking about or are trolling

 

yeah clearly being a company director I know nothing about how they are paid Care to tell us all what makes you such an expert?

[Mecky]

Don't be silly. profit pays for the service and the business to run that provide you with the product.

 

Try buying 1 packet of cheese and onion crisps from Walkers and see if they will sell you in such small quantity?

 

No it doesn't those are counted as costs and not profit, which is what I'm more concerned with. Maybe you should be more clear about what you mean.

[RonJeremy]

Profit is the reward for risk. Return on capital invested. An incentive to succeed.