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What Stock values tell you how much your company is worth. Company worth tells you how likely you are to get people to invest in you. Stock value is very rele
by iamdave 18y ago
What
Stock values tell you how much your company is worth. Company worth tells you how likely you are to get people to invest in you. Stock value is very relevant, though I personally hate the way we go about depending on it as a performance metric, which I think is how you're looking at it.
Stocks are reflective of performance, rarely (if not) the other way around. Doesn't mean it never happens that way, although.
- maxklein 18y agoStock values represent outside perception of a company, and if the stock of a company declines, it has no effect on the workforce. The stock price has nothing to do with getting people to invest in you. If your stocks are sold, they are gone, and have nothing to do with the company anymore. If you are publicly traded, people don't invest in you apart from through your stick. Stocks are just things on the side. They sync with what is happening inside, but a stock price dropping will NOT cause a company to fire workers. So the argument I addressed is silly, because it is then as if the company will start firing people as soon as stock goes low.