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82. Re: Vivendi Seeking Activision Buyers Jul 12, 2012, 12:01 Beamer
ASeven wrote on Jul 11, 2012, 14:52:
And you also point out all that is wrong in the gaming industry, with publishers today. EA's CEO job is to "solely to maximize shareholder value" and not actually hear what gamers, the main customers, want. No wonder this and many industries are slowly sinking, losing touch with the customers is a sure way to prevent said companies of ever making a reasonable profit ever again.

I can't decide if this statement is too simplistic or not broad enough.

One can argue the problem with every company is that the CEO is only out to maximize shareholder value. In fact, he's legally obligated to do so. He has no choice in the matter - either he does it or he's sued as his fiduciary duties are legal.

But "maximize shareholder value" is vague, isn't it? How does one do so. Does one cut back on costs, or does one increase costs to make better products that sell more? You can do either. So, in this way, your argument is incorrect.

These days, though, people focus on the former because it's easier, but it's stupid. They only see shareholder value as being about controlling money, not as a function of pleasing your customers.

Beyond this, the true issue with virtually every company today is hitting expectations, but that's a different rant.
Music for the discerning:
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