This part is what many have a problem with I think: "...When a company needs to make decisions to increase their margin..."; why? Why do you _NEED_ to increase your margin? You can increase your profit amount without increasing your margin by extending your customer base, by being smarter about expenses, by being a savvier customer to your online infrastructure, etc. But what is the _NEED_ (emphasis is mine) to, literally, squeeze that rock harder to get more blood out of it, therefore ensuring it will crumble in the future?
The only thing I can think of is that there is no care for said future, "I'll squeeze as much as I can now, I got mine, so screw everyone else".