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Lee Reamsnyder

“Maximizing shareholder value” is stupid and dangerous →

2011 Dec 29 1 min read Published by Lee Reamsnyder Permalink

Roger L. Martin, from his book Fixing the Game:

Our theories of shareholder value maximization and stock-based compensation have the ability to destroy our economy and rot out the core of American capitalism. These theories underpin regulatory fixes instituted after each market bubble and crash. Because the fixes begin from the wrong premise, they will be ineffectual; until we change the theories, future crashes are inevitable.

This is via Steve Denning’s article in Forbes summarizing Martin’s book. An excellent read that touches one of the major problems in corporate America today.

← Older post The best thing of 2011 → Newer post This video of a talking dog is the awesome kind

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