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  • Writer's pictureThomas Neumann

Blog #5: For-Profit Versus For-Benefit Profit

When analyzing the difference between products that are used to make profit versus products that are used to benefit others, we must consider two factors, the types of problems they solve and their effectiveness. When it comes to for-profit products, they typically solve very small or no problems are extremely ineffective in solving those problems. In contrast, for-benefit products typically solve larger problems and are usually more effective in solving those problems.


For example, when we consider the difference between designer sunglasses and the Life Alert system, we are able to see this difference. When it comes to designer sunglasses, thought they do solve the problem of sun damage to your eyes, they typically are very ineffective in doing so and are extremely expensive. However, when considering the Life Alert system, Life Alert can save the elderly from being alone when they fall or have an emergency, allowing them to get immediate assistance, resulting in a very effective solution to a huge problem.

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