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> The CEOs / Executives are literally appointed by the board who in turn are voted in by shareholders. It is their job to increase the share price. This is a m
by jpmoral 3y ago
> The CEOs / Executives are literally appointed by the board who in turn are voted in by shareholders. It is their job to increase the share price.
This is a meme that needs to die.
> The world is better of with efficient capital deployment.
Even if this were true, rising share prices don't necessarily indicate efficient deployment. Chasing short-term share price increases often incentivises behaviour detrimental to company in the long-term.
- deltree7 3y agoShopify, Apple, Google, Meta, Amazon all have long term goals. Meta/Google/Amazon/Microsoft are literally investing R&D $ that will pay off 10+ years later. Yet they all have laid off people. Just because you laid of people doesn't mean they aren't thinking long term. Really how can reddit/HN and social media be so blind about this when they have data screaming at them?
- jpmoral 3y ago> Just because you laid of people doesn't mean they aren't thinking long term. That's not what I said at all. My point was that a rising share price and actions taken to influence that do not necessarily indicate that capital has been efficiently deployed. > Really how can reddit/HN and social media be so blind about this when they have data screaming at them? Maybe don't start with the assumption that everyone else is an idiot.