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Everybody says this, that companies are always seeking their current quarter profits, but:
- That is irrational and I don’t see why they’d behave that way
- Ive seen no evidence that they actually do
Can anyone provide evidence that companies actually optimize for current quarter profits at the neglect of all other time spans?
I wouldn't take the meme so literally that they're only talking about current quarter profits, but just that they want growth in general.
I’m not referring to the meme but to the popular, articulated belief that companies are hyper focused on the current quarter’s profits. It’s often provided as explanation for bizarre behaviors by companies.
Oh, I didn't realize a lot of people actually believed that I just figured they were being hyperbolic.
Stock buybacks. Enron and WorldCom. Mass layoffs when not needed. https://sci-hub.se/http://dx.doi.org/10.2139/ssrn.52686 https://sci-hub.se/https://dx.doi.org/10.2139/ssrn.491627
Companies as a whole might not always do this, but executives trying to hit their targets and get their bonus definitely behave this way sometimes
Nobody can, because this rhetoric on Lemmy is always pushed by gut feelings of astroturfing tankies.