773 karma · joined December 15, 2015
Also I think you might be surprised to learn that ROKU's market cap over $18B and most of that is likely due to their user profiling -- https://www.theverge.com/2018/7/20/17595384/roku-ceo-anthony...
And to your car dealership point - the way it works for GM at least is that GM sets sales goals for their dealers. Dealer X's monthly sales target is 75 vehicles. They will happily sell lets say vehicles 73, 74, and 75 on August 31st to get their $20k bonus for the month of August. They might not be misrepresenting their supposed price like you think. Also, the same concept of inventory holding costs applies really well for car dealers. It's purely an inventory turnover business. If your lot is full of fusions and you can sell 2 f150s in the time that you can sell 1 fusion at similar profit, you're going to want to get those fusions off the lot potentially at a loss so you can sell more f150s.
That’s what a Fortune 500 CEO would have you believe. There are over a billion English speakers in the world and you don’t think there are at least thousands of people (who aren’t already overpaid CEOs) that could be doing a better job than Iger, or any given Fortune 500 CEO for that matter?
He can borrow against that stock and thus create immediate cash value.
The question should be could he be paid a fraction of what he is in reality and do an equally good a job? Or could somebody else do an equally good a job as Bob for a fraction of the cost? The answer is almost always yes to both questions, and it applies to all companies not just Disney.
A couple large companies going public and raising several billion dollars will not make the market crash. All of them listing at once is a symptom of where we are in the economic cycle, and where these companies are in their individual growth curves.
https://www.theverge.com/2019/4/11/18305976/tesla-panasonic-...