Whose interests does the CEO protect? The obvious answer seems to be: “The company’s owners, of course!”
But what if there are several shareholders? What if they’re at odds? Whose side should the CEO take—A’s, B’s, or C’s?
And then come the voices from left and right: “Wait a second, what about customer satisfaction?” “Hey, don’t forget government expectations!” “What about the employees, society, the planet, and so on?”
It’s enough to leave anyone frozen in confusion—or losing their mind.
The way out is to see a business as a living organism. If it dies, would any of these groups actually benefit? No.
When a business goes bankrupt, everyone suffers:
Shareholders lose a valuable asset.
The government misses out on taxes.
Customers are forced to hunt for alternatives.
Employees have to rebuild a foundation of their lives.
The market takes a hit, especially if the product was impactful.
A poorer society cares less about its future or its surroundings.
The bottom line: The CEO's primary goal is to ensure the stable prosperity of the company.
Metaphorically, the CEO is a gardener, and the business is the tree of life. Storms, diseases, pests, and wild animals constantly threaten to destroy it. Whether there’s one beneficiary or dozens, there will be nothing left to divide if the tree dies.
But when the harvest is abundant, there’s more than enough for everyone.
Yours sincerely,
-Alexander
About me:
As a business therapist, I help tech founders quickly solve dilemmas at the intersection of business and personality, and boost company value as a result.
How can I help you?
If you've long been trying to understand what is limiting you and/or your business and how to finally give important changes a push, then The Catalyst Session is designed specifically for you. Book it here.