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Should also add that maximizing shareholder value isn't a hard legal requirement since those laws are often misquoted to imply the opposite for some reason and
by rednixion 7y ago
Should also add that maximizing shareholder value isn't a hard legal requirement since those laws are often misquoted to imply the opposite for some reason and that the board had "no choice" to pursue a particular controversial revenue stream, source: https://www.lawschool.cornell.edu/academics/clarke_business_law_institute/corporations-and-society/Common-Misunderstandings-About-Corporations.cfm https://www.lawschool.cornell.edu/academics/clarke_business_...
- JohnFen 7y agoYes. If maximizing shareholder value was the end-all and be-all, then every corporation would be in the sex, drugs, and gambling businesses.
- llamataboot 7y agoI mean, the gambling business may be profitable, but are the profits really left on the table at this point? You don't just have to build a casino, you have to build a /better casino/. Profitability has little to do with the overall margins of the market you are in, but in whether you can find places to optimize ROI that your competitors have not.
- jjeaff 7y agoGaming industry has around 10% net profit margins. Compare that to Apples 30%.