> Obviously, a rational CEO would see $1m cost savings the same as a $1m gain in profits, but CEO's are not rational beings (nor is any human) and understanding that they usually prefer higher revenue to lower costs is fundamental to understanding how they value different parts of the company. It's not fair, it's just truth (at least in many companies).

A rational CEO prefers revenue growth as companies are valued based on revenue, and the CEO's purpose is to maximize per share value.