Mitch Haley wrote:
"Kaleb C. Striplin" wrote:
Now lets all learn the difference between PROFIT and PROFIT MARGINE.
Let's say your sales are 100 billion, and your margin is 2%.
Now let's say that your product is a commodity, and the market
price doubles through no fault of your own. If your cost structure
stays the same (Exxon/Mobil buys some of its oil, so the cost structure
changes, but let's assume it stays the same) your profit margin is
now 51%, and you make more in one year than you would have made in
50 years at the old price. Should your paycheck now go up 50x?
How about if your Chairman retires during the windfall, should he
get 10x as much as the next highest paid oilman in the world?
Why not, what are the company's owners going to do about it if you do?
I might not get quite so angry if during tough times the shareholders
could sell the presidents wife and children into slavery and get the
president to cut their grass while being paid the prevailing wage
computed from the number of yards they finished! Instead presidents/CEOs
are handsomely rewarded for minimizing the losses by firing the most
energetic employees and selling off the most valuable assets.
Marshall
--
Marshall Booth (who doesn't respond to unsigned questions)
"der Dieseling Doktor" [EMAIL PROTECTED]
'87 300TD 182Kmi, '85 190D 2.0 161Kmi, '87 190D 2.5 turbo 237kmi, '84
190D 2.2 229Kmi (retired)
