3 ms·
It's not a problem of regulation but a problem of market capitalism. Executives in public companies are voted in by shareholders (even if so indirectly by the b
by charles_f 2y ago
It's not a problem of regulation but a problem of market capitalism. Executives in public companies are voted in by shareholders (even if so indirectly by the board). Shareholders seek return on their investment by increase in the value of their shares, which is directly linked to the revenue and profit of the company.
As a CEO of a public company, if you're not ready to do what increases profit, you will get replaced by someone who will. The main reason why it won't be profit "above everything else" is when there is a risk that the "above everything else" reduce either of profit or market cap: potential legal ramifications, bad press, etc.