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Investors are often bothered by talent acquisitions since they get small returns when they're hoping for big winners. So that article's claim is probably false.
by arikrak 15y ago
Investors are often bothered by talent acquisitions since they get small returns when they're hoping for big winners. So that article's claim is probably false. However, I wondered why it was worthwhile for the big companies to acquire for talent, since they're paying a lot more than standard salaries for people who might leave after 2 years. The article claims they don't want the status quo disrupted, but that doesn't really make sense, unless the startup is creating a product that will directly compete with them.
- wtvanhest 15y agoIt is worthwhile for big companies to acquire talent because of the way investors in the public market value the stock of large companies. Investors don't care much about a few million spent on acquisition that happened 2 months before they get the earnings report. They care far more about future growth and how the company will achieve it.