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The reason tech companies rely heavily on stock-based incentives is to align the interests of the employee with the shareholder. You want the group to have a sh
by spiffage 14y ago
The reason tech companies rely heavily on stock-based incentives is to align the interests of the employee with the shareholder. You want the group to have a shared fate. Cold, hard cash, while attractive to people who haven't yet joined, doesn't align interests as well as stock does.
- bradleyjg 14y agoThey can always take the upthread suggestion of repricing options, or issuing RSU. I'm really not seeing any employee downside other than some punctured dreams - and I don't see how those dreams would have been any less punctured if they had IPO'd at $10 and moved to $18.
- Evbn 14y agoEmployees would have negotiated for more shares at the $10 price.