@StarkRG Well, that really depends on the setup.

With "#PublicCorporations", shareholders essentialy 'gamble' aka. "#invest" into a company under the theoretical risk of loosing their entire investments.

  • #dividends basically act in lieu of a #loan with fixed payment plan: If the comoany runs well, those who put money into it get paid accordingly for basically having given said company a interest-free loan.

OFC #Investors expect their #Investment in the form of #shares to gain value over time instead so if they "cashout" (regardless if selling to someone else or a stck-buyback program of said #corporation to reduce shares in circulation & shareholders), so that's the pressure to make shure "#LineGoesUp!" and that works solely off #vibes with quarterly and annual numbers changing the mood...

  • This is basically how any stock-based company works regardless if the biggest 24/7 globally traded GAFAM or the smallest pennystock sold via pink slips.

#NotFinancialAdvice

@calcifer actually no, that's literally in the Law governing #PublicCorporations [in #Germany.]

#PublicCompanies exist to increase capital.

  • They are a #gamble that a company will #ROI it's share holders short- or long-term!

Otherwise they'd not go public and majority owners who don't want their business bled dry even take them #private again (i.e. #Dell)…

AktG - nichtamtliches Inhaltsverzeichnis

@forthy42 @Daojoan +1

One cannot sustain infinite exponential growth (as mandated per law for these firms) on a finite rotational ellipsoid (earth) cuz even if a product is as essential and universally "sellable" as drinking water, at some point everyone has maxed out their ability to "consume MORE":

  • One can only drink as much water every day until they collapse.
  • One can only store & stockpile so much water.
  • Faucets and water infrastructure only have a limited capacity and flow rate.
  • People can only afford to buy so much of it.
  • There can only be a finite number of customers.
  • There's only a finite amount of drinking water available at any given time.
  • There's only a finite amount of area & energy available to setup and operate water treatment plants.

If someone were to unsarcastically demand a toddler to grow exponentially for the rest of their life, they'd be declared insane on the spot and if they attempted to actually try that they'd hopefully get jailed for child abuse before they could cause any permanent damages.

  • Yet in economics we accept that as a legitimate form of running an enterprise.

https://infosec.space/@kkarhan/114493142633669460

Kevin Karhan :verified: (@[email protected])

@[email protected] and exactly that is the absurdity of it. - If they were forced to do this full circle, they'd essentially shut down everthing, sell off all the assets and cash out. Oh nevermind, that's the whole #ManagmentCulture for the last 30+ years where some #ValueRemoving #Manager just kills R&D, cashes out bonuses and when the company dies in 5-25 years their successors' successor is forced to hold the bag. - I've seen that in #IT and elsewhere…

Infosec.Space

@indigo I agree...

Also #VCs are inherently #unsustainable - just like #PublicCorporations...

I guess COSS means any FLOSS dependent on a single / very few companies that develop it and keep it maintained.

@Darkphoenix in fact, with #PublicCorporations they are legally mandated to maximize profit at all costs or face lawsuits by investors

@RadicalEdward #FUNFACT: #PublicCorporations - at least in #Germany - are by law REQUIRED to maximize profit by all means legally possible or face lawsuits by shareholders & investors...

Unlike #Cooperatives #PublicCompanies and #Corporations ain't bound to reasonable goals like #Sustainability.