- Oct 3, 2001
Short-term profits should be allied with an increase in the long-term value of a company. I don’t think anyone from c suites around the world would argue with that quote from the ex CEO of GE jack welch.
The hierarchy you laid out doesn’t make sense. Unless by employees you mean innovation. Employees do matter but depending on the product or service being customer centric can be paramount depending on how many other firms you are competing with.
I don’t think anyone can disagree that if you have a good product and employees who don’t mind making suggestions about manufacturing or iterating on the product then the shares will rise. You need innovation from staff.
All I’m saying is when I’m meeting with outside investors they do care about shareholder metrics. Interestingly short term profit maximization doesn’t reflect in the stock value many times anyways especially if it’s not sustainable. They absolutely love when you can either produce faster or cheaper because of suggestions from “the floor”.
I’ll wrap this up by saying fuck Bobby Kotick though. I don’t give blizzard much money anymore because I don’t like what they’re making. He’s said quite specifically many times that he’d rather make annualized games for consistent profits rather than one off titles. See SC2 being episodic.
$200 GC though seems unusually tone deaf.
Nope, Employees matter more to the company than anyone else, for most industries.
It's been proven in study after study. Happy employees who feel valued, properly compensated, and not under threat of constant doom? Are significantly more productive for their employer.
Happy Employees will treat customers better, resulting in happier customers (and generally more sales)
Happier customers will say good things about your company, and yadda yadda.
Shareholders benefit from this.
Shareholders do NOT generate profit or anything useful for the company.