Be Good
Paul Graham’s essay Be Good argues that startups should prioritize creating value for users over profit maximization.
The Counterintuitive Insight
“Make something people want. Don’t worry too much about making money” describes charitable behavior, yet successful companies often operate this way.
Business as Charity Model
Companies like Craigslist and early Google succeeded by focusing on user needs rather than revenue. “They run it like one” while achieving extraordinary success.
Three Core Benefits of Benevolence
1. Morale: User dependence creates motivation. The “tamagotchi effect” ensures founders keep working when people rely on their service.
2. External Support: Being good attracts investors, employees, and partners. “The very best hackers tend to be idealistic.”
3. Decision-Making: Benevolence serves as a reliable compass. Asking “what’s best for users?” provides clear direction.
Long-term Sustainability
Companies initially built on benevolence sometimes shift toward exploitative practices, which ultimately damages them. “Don’t be evil” becomes protective.
My Takeaway
Being good works pragmatically, not just morally—functioning as strategy, not merely values.
How do you balance doing good and making money? I’d love to hear at persdre@gmail.com.