Re:You probably don't need AI/ML. You can make do with well ...
by digi_owl on Monday April 23, 2018 @05:09PM
(#16907413)
How the stock market cargo cult works.
We have already seen this with things like offshoring.
A few big name companies did the numbers and found they could save some on moving their production somewhere else.
Then came a rush of companies that made big that they had offshored who knows what, simply because that was what the stock market expected of a would be forward looking company.
The basic problem is that these decisions are not done based on what is good for the company long term, but what is good for the stock price short term. And in large part because CEOs are paid in stock options, and can be ousted by activist stock owners.
We have already seen this with things like offshoring.
A few big name companies did the numbers and found they could save some on moving their production somewhere else.
Then came a rush of companies that made big that they had offshored who knows what, simply because that was what the stock market expected of a would be forward looking company.
The basic problem is that these decisions are not done based on what is good for the company long term, but what is good for the stock price short term. And in large part because CEOs are paid in stock options, and can be ousted by activist stock owners.