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You realize any CEO that didn't capture all value that the company created would probably be sued into the ground by the shareholders for not maximizing the ret
by spiralpolitik 12y ago
You realize any CEO that didn't capture all value that the company created would probably be sued into the ground by the shareholders for not maximizing the return on their investment ?
- TeMPOraL 12y agoIn other words, you'd be fired by idiots who don't give a damn about anything than their wallets. That's the problem with shareholders. As someone explained on HN recently, "share holding" periods are often stupidly low. Shareholders are in no way interested in long-term good of the company. So if as a CEO you end up in a situation where shareholders are forcing you to do things that are bad long-term, there were likely some stupid decisions made that gave them so much power over you. But anyway, you can't have cake and eat it too. If you care only about maximizing shareholder value, then don't lie to customers that you care about providing them value.