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 : Dell Technologies Inc.
DELL 131.57-1.2%2:00 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: BWAC who wrote (176130)9/5/2008 11:58:22 AM
From: Lizzie Tudor   of 176387
 
BWAC, while you and I are probably of the same mind about the manipulations of these companies to obtain short term cost cutting and what it does to the enterprise long term - to assert that the only reason executives do it is to obtain options gains is JUST FALSE.

The options gains from the 90s had nothing to do with cost cutting, they were all about growth. By the time the cost cutting came down, the stocks were too flat to matter. Dell and Cisco and the 90s star stocks have been flat for an entire decade. Sure the CEOs still make money but nothing like the money that was made in the 90s.

The reason the executives that execute cost cutting measures do it is because thats all they know how to do, thats what is taught in business school etc. ONly steve jobs, who is an engineer himself, has what it takes to execute vision in a huge company. Bezos is pretty good too. But most of these guys, most notably Rollins and the Dell team, is just clueless as to their role in the org and where the real power center is.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext