Producers want to charge prices that cover their costs and, they hope, earn profits.
The goal of any businessand entrepreneur in the market place is to make profits. And the will seek to produce at the lowest cost as possible in order to make much more profit. Nevertheless, first of all, businesses must ensure that they will not lose money by making sure their sales cover their costs in order to make profits. If a company earns what it spends, that is the breakeven point.