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View Diary: Don't Worry "Papa John": We Understand (191 comments)

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  •  And, it doesn't work for the shareholders.. (11+ / 0-)

    The dirty secret is that companies that focus on "creating shareholder value" tend to be less successful at that goal compared to those that focus on their products, employees, and customers with shareholder value being a distant fourth.  Especially, since boards of directors have decided that giving CEOs shares in the company should align their interests with the shareholders.  The thing is the easiest way to raise the stock price is via accounting gimmicks, control fraud, and managing analysts expectations. None of which actually improve the company's long term value, but do a great job of jacking up stock option exercise value.

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