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The company is owned by its shareholders who vote on issues such as CEO pay and the board compensation. The business being "profitable and successful" is the o
by mjburgess 5y ago
The company is owned by its shareholders who vote on issues such as CEO pay and the board compensation.
The business being "profitable and successful" is the objective of its owners because they want a return on their investment. It is the objective of the CEO only insofar as that is what they are hired to do.
CEOs are given equity to align their incentives with the company owners.
Im not sure who you think is hiring CEOs or why, but it isn't someone with an idealistic sense of "success". The CEO is given their mandate by the company investors.