Why do we allow CEOs?

They sit on each other's boards of directors giving each other gigantic salaries and bonuses. Reminds me of the Mexican Army that sits around a table giving each other pay raises and ribbons all day long. And the CEOs are just about as effective.

 

because its legal and they can do whatever they want with their money

 

Yeah . . . because when the Soviets and Chinese went with bureaucrats as heads of companies that worked out sooooooooooooo well for them that -- well -- look at how the Soviet Union is thriving today and how Communist China has absolutely nothing whatsoever to do with hated and despised capitalism . . . oh . . . wait a minute. Sigh!

 

Nobody has come up with a better system. When they do, it will take over in a flash.

 

Well if you come up with a better idea on how to run a company I'm sure you can suck tons of money out of them all for consulting you about it.

 

Not your business what someone does with his business , the evil is capitalism not economic activity .

 

Ya know, the computer you are using to post here is a product of your hated capitalism. That's a real principled stand you're taking.

You should stay away from any and all products of capitalism, because it's evil. How can that evil in those products, not corrupt you?

 

You know how you put a stop to that? Buy a company and fire the CEO. Until then, keep your beak in your own exceedingly trivial business.

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Your assumption is wrong and you should feel bad about it , i already refuted such ignorant posts a couple of years ago when i joined the forum and i hate to repeat myself .

*I suggest you go and read about German Airforce and English public college projects.

 

"We" dont allow them to do anything. The stockholders do. Unless you are a stockholder, it frankly is none of your business.

 

I think so. The time's right for reform.

 

All it would take is a law that says if you are a CEO you cannot sit of the board of directors of another company. In fact, I think all it would take is enforcement of the existing rules against collusion. That, and some action by sleepwalking shareholders.

 

Shocking sloutions out of you. Laws, Rules, Force, Government!!! arrhh

 

and what would be the point of a law like that?
if you're able why not expand your chips? what would limiting a person's abilities accomplish?

 

When you and I can hand each other pay raises and huge bonuses, I'd say the playing field has been leveled.

 

I may be wrong here, but I think a person's abilities would be the same at $5,000,000 as they would be at $50,000,000. How does increasing a salary by $45,000,000 improve a person's abilities?

 

Market. Supply and demand? Heck the Italian CEO did wonders for Chrysler.

 

Why do we allow movie stars? Rock stars? Sports figures? Media companies? We haven't heard too much whining about them making too much money.

If you're going to be arbitrary and authoritarian, things will get ugly pretty fast. Ever heard of 'history?'

 

Well, I can already tell that few people here have the attitude, material, and personal qualities necessary to make a good CEO.

And, that's why we need CEOs.

Leave the upper incomes alone!

 

Here's a suggestion, all this time you spend on a internet forum complaining about what other people make, focus on your own salary and life. You'll get better results, I promise you.

 

I don't think it's about 'allowing' CEOs. CEOs are a recent construct. Corporations didn't exist pre 18th century. Change will not come about if everyone is so stuck on individual thinking regimes. It's becoming a bore, honestly.

The CEO is, as are all positions in a company, an emergent phenomenon of the underlying system. CEOs exist because corporations exist and make them. Why do corporations exist? Because people exist and make them. Self organization into units is a fundamental force in our universe. If you get into the niddy gritty, you'll find that companies require certain positions to list on major exchanges. You'll also find that voting structure requires the position be filled for certain action, or a committee must be appointed of the board, which becomes very inefficient for simple decisions and the position naturally evolves again. You might say the CEO is a product of corporations and a cancer in society immune to our best defense. They aren't particularly useful in and of themselves. A good project manager (*)(*)(*)(*)s on most CEOs any day. A CEO is supposed to be an every man and expert to earn their salary. Funny, we know multitasking is a bad thing for an individual, so there are definitely models that distribute the work to more functional units. Again, they need to list, and it's good for fundraising and bank loans to have a single signature. Try getting a loan as a large partnership or CoOp. Risk management gets ridiculous for large investment; they aren't suited for it. Unfortunately, our lower end business models aren't well structured for broad, high-risk portfolios of new firms (otherwise you'd see venture capital and angel efforts being packaged somehow).

 

Most CEOs WANT to get fired so they can pick up their $100,000,000 parachutes on their way out the door. And we both know that corporations fail as often as they succeed. How much are CEOs of failed corporations worth?

 

Wrong. The technology that allowed the development of modern computers originated out of government grants to universities and military.

 

Taxcutter asks:
So where is this wonderful improved system? What is it?

 

Any meat in that air sandwich? Didn't think so. Logically, it's the equivalent of saying that the Egyptians invented the modern steel skyscraper.

If government invented computers, the smallest ones would weigh 100 pounds and have 7" diagonal green monochrome displays. Software would be 80gb to calculate a simple formula in a single spreadsheet cell.

If government invented the internet, this forum would have eight different login screens required before entry, 5 of which would lead to an unrecoverable system crash. Data would be transmitted at 2kbits per minute, search engine queries would return "why do you want to know that?" results 90% of the time, and there would be one video on youtube, a highly pixelated elf jumping up and down on a jagged edged red "ball."

Government invents nothing but waste, certainly less than nothing in relation to its immense costs.

Oh and FYI, most government grants are the product of taking money out of the hands of people who would create true wealth with it and giving it to people who pour it down a graft rathole.