What Is a Profit Motive?

Investment motivation refers to the purpose of investment by an investment entity. According to the level of investment motivation, it can be divided into: (1) The direct motivation of investment refers to the direct purpose to be achieved through investment. For example, the direct purpose of investing in the construction of a steel joint venture is to solve the insufficient supply of steel and balance the material gap, promote coordinated economic development, and obtain good economic benefits. (2) Indirect motivation of investment refers to the ultimate purpose of investment. It is constrained by basic economic laws linked to social production relations. ^[1]

Investment motivation

Investment motivation is

1. Profit motive (profit motive)-refers to the motive for investment to obtain material benefits or maximize profits. It is the most general, common and fundamental form of motivation in market economy activities.

2, non

The function of investment motivation is the inherent conversion of investment motivation into investment behavior

1.Layers

Initial motivation (with directness and

1. Establish a sound and reasonable price mechanism to create a level playing field for investment entities.

2. Establish an investment system suitable for the development of a socialist market economy, and rationalize the relationship between the central government, local governments, enterprises, and individuals in the overall investment activities.

3. The investment environment is a key factor that affects and determines investment motivation. Therefore, we must build a good investment environment.

4. Establish and improve investment management mechanisms.