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Strategies & Market Trends : The Financial Collapse of 2001 Unwinding -- Ignore unavailable to you. Want to Upgrade?

To: DinoNavarre who wrote (3941)	11/10/2019 2:42:53 AM
From: elmatador	Read Replies (1) \| Respond to of 13800

Look at it as CEO greedy for short term. It goes like this: Siemens CEO joined Angela Merkel. Announces such big deals on the wake of the visit. SHares go up. Everybody claps, CEO gets big bonus. I have more examples. In the mobile business CEO greed have been playing its part too. You have a mobile network. You keep investing CAPEX to avoid the network congestion. Keep you users happy with their experience. The CTO goes to the CFO ask for CAPEX to keep a headroom (capacity above the present demand) so that the network never congests. CEO tries to find a way to line his pockets. He says. No CAPEX. Lets use the headroom. let the data increase. Profits increase. CEO pocket big bonus. Slowly the network start congesting here and there. (this is visible with the tools they have measuring the network parameters on the fly) By November CTO has the plans for next year ready to kick off in April beginning of the financial year. What is this? Well, we will rebuild full headroom next year. No. No. No. Let's do this. look everywhere where the headroom has been fully used up and lets build capacity there. Note, the CEO wants to keep getting his bonuses. The CTO's teams replan for firefighting. Only building where the network i already congested. The CEO is not yet happy. Why are we investing in the southwest? We are the preferred provider there. Let's invest where the competition is truing to grab market share from us. After a couple of years, the network is just being patched up like a Nigerian potholed highway, but the CEO is making good bonuses all along