Originally posted by King Kandy
No large company in america is willing to take short term losses in order to make long term gains.
This is factually incorrect.
See Verizon's FIOS roll-out plan as a very large example of contradiction to your statement.
However, this doesn' mean that I didn't get your point. I got it. I'm just being a jerk. 😄
Originally posted by King Kandy
Shareholders only care about the profits of the next quarter.
I'm trying to remember the rule of thumb...it's like.....18 months or something. 18 months being the longest a shareholder can be expected to wait for an investment turn around.
Originally posted by King Kandy
A company will collapse if it allows itself to take hits, even if they will potentially pay off. So health care companies will never significantly undercut one anothers prices.
Like you mentioned earlier, though, that's the fault of the shortsighted shareholder and the social conditioning of the market. People are expected to produce results, yesterday. Impossible when good results take a crapload of money.
Of course, that's just one facet of market dictation. There's the stupid consumers, stupid voters, stupid politicians, corrupt politicians, corrupt businesses, etc. You could probably think of a million reasons just like that.