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Pursuit of shareholder value maximization doesn't actually maximize shareholder value.
And I have also written elsewhere that, ironically, pursuit of shareholder value maximization does a crummy job of maximizing shareholder value.
Even when customer value maximization is the primary objective, the culture is right, and stock-based compensation has exceedingly long vesting periods, the siren call of shareholder value maximization is ever present.
Michael Jensen makes this point forcefully in arguing that shareholder value maximization should be the single "objective function" of the firm.
There are two dominant reactions to my assertion that corporations should abandon shareholder value maximization as their singular goal -- their objective function.
The maximization of the ID/IG ratio of the Raman spectra was selected as the target value.
The same logic of ethics and competitiveness that once supported shareholder value maximization now leads to the conclusion that firms should focus on maximizing returns for labor.
Corporations that ideologically pursue shareholder value maximization will alienate employees and customers, making it more difficult to maximize shareholder value.
Take the poster boy for shareholder value maximization, Jack Welch.
"The board of Tyco has significantly diminished the value of the company while purporting to pursue a value maximization strategy.
Though never dormant for long, the debate about shareholder value maximization is having another flare-up.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com