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Stock 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 t
by maxklein 18y ago
Stock 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.