SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : C-Cube
CUBE 36.64-0.5%3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: SC who wrote (34635)7/23/1998 10:42:00 AM
From: William T. Katz  Read Replies (2) of 50808
 
Shawn, Microsoft is the extreme case of when a stock rises. If anything, MSFT share increase is hurting recruitment now because of what you described. But when MSFT stock was nicely appreciating (but not doubling every 6 months), options were a great incentive. There was an article in Fortune, I believe, that described how MSFT used options as a form of future currency. (It also talked about the downside of this approach if MSFT stock starts to fall.) While I agree that you need to hire good people first before a company takes off, there is a chicken and egg problem. Good people flock to those places that promise the golden land of large returns. Good people also avoid those places that seem to be sinking, and stock price while not a good indicator is indeed one type of indicator.

Another example is Apple about a year ago. One of my friends told me about the poor state of Apple where many of their best talent were leaving the previous 3 years. The whole stock situation there was very bad and everyone expected it to get worse.

Somewhere between Apple and Microsoft is Cube. They have good promise but it has not been reflected in stock performance. I am not saying stock price determines company performance. I'm just saying that stock price can have an effect in how a company is perceived, particularly to potential employees who will be getting a slice of the pie.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext