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| quote: | Originally posted by Infinit
where I said "major stuff" I agree I probably made it seem like I was putting more importance on my post.
but he did ask (after your initial explanation) how this cost cutting situation would help the company, and also why a high price or a low price would be bad for the company. the cutting of costs and boosting of earnings directly affects shareholder/owner value (and we see this in the movement of the stock price). and mgt/directors have a direct responsibility to the shareholders to retain value in the shares they hold. I was simply making the connection to the statement made by their CEO.
I don't see how thats not an important part of this discussion. |
you are right that it is important to note that management has a fiduciary duty to the shareholders, and I don't disagree with any statements in your post. I didn't understand his question to be how cost cutting helps a company (i would think that goes without saying). I also missed the part about high/low share prices. To the extent you were answering that question, I would agree that your previous post was entirely relevant. My bad.
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