Resentment seems to have been given us by nature for a defense, and for a defense only! It is the safeguard of justice and the security of innocence.
Adam SmithRead
The real and effectual discipline which is exercised over a workman is that of his customers. It is the fear of losing their employment which restrains his frauds and corrects his negligence.
Interpretation
What this quote means
Customers play a crucial role in regulating a worker's performance through the fear of job loss.
Adam Smith highlights the importance of accountability in the workplace, suggesting that the true discipline imposed on workers comes not from their employers but from the expectations of their customers. The fear of losing their job drives workers to maintain integrity and diligence, as their livelihood depends on satisfying the needs of those they serve.
Themes
DisciplineCustomersWorkEmploymentAccountability
In practice
Example use cases
In a business presentation to emphasize the importance of customer feedback.
More from Adam Smith
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Wherever there is great property, there is great inequality.
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This is one of those cases in which the imagination is baffled by the facts.
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Defense is superior to opulence.
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I have never known much good done by those who affected to trade for the public good.
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