It's not to motivate a particular person to deliver more, it's to ensure that you're able to hire that person - if they would pay, for example, $2million, then no one with experience at managing decent size tech companies would apply as they can get a much better offer elsewhere.
Also, CEO compensation is effectively between the shareholders and the CEO - if the CEO is making the shareholders happy and they want to gift him $200m for no good reason, well, it's their right to do so, it's their money to spend or waste as they wish, not the employee's.
Warren Buffets salery has been $100.000 for decades. And as far as I know Berkshire doesn't do stock based compensation at all, Buffet just holds the shares he always held.
To beat competitors, not have tons of beemers for beemer sake. The motivation is relative. The 3 big "robber barons" of the late 1800's use to send each other brag-grams over who was richer.
PeterisP|2 years ago
Also, CEO compensation is effectively between the shareholders and the CEO - if the CEO is making the shareholders happy and they want to gift him $200m for no good reason, well, it's their right to do so, it's their money to spend or waste as they wish, not the employee's.
GJR|2 years ago
easytiger|2 years ago
ta1243|2 years ago
Surely it's just for keeping score
aeyes|2 years ago
tabtab|2 years ago
zymhan|2 years ago
jason0597|2 years ago
choppaface|2 years ago
callalex|2 years ago
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