"It's really hard to design products by focus groups. A lot of times, people don't know what they want until you show it to them."
-- Steve Jobs, BusinessWeek, May 25 1998
That's cute and all, but there's a difference between starting a business to solve problems and make the world better, and starting a business to convince people to buy shit they don't need to feel better about their lives.
The point is that needs are poorly-defined and often intangible. When you ask people what they "need", their answer is biased to their problem and the current environment. In other words, it's not innovative—it solves the problem, not the need.
I'll use another quote to illustrate: "If I'd asked my customers what they wanted, they'd have said a faster horse." —Henry Ford
Innovation doesn't come from the masses. It doesn't come from a focus group. It comes from cutting through all the problems and addressing a core need. It takes vision and a thorough understanding of the issues at hand.
This isn't to say you can't build a business around a problem and a solution. Case in point, I read an article the other day about a business that provides "Access on the Web" via a Flash-based VNC. Solves the problem? Check. Addresses the root need? Not so much.
This topic is independent from your consumerist rant. (Apple bias?) You can have world-changing solutions that address a problem (i.e., shipping water to Africa) and solutions that solve a shallow need.
It's worth noting that I disagree with this statement, too. Corporations do have a social responsibility. But more tactically, simply because you can't separate actions from revenue. Intangibles like customer service, community impact, design, etc. may seem "wishy-washy", but have a measurable effect on a bottom line. You can't create value for the shareholders without creating value for employees, customers, and economies.
