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0 pointspm903y ago0 comments

Amazon and Meta are at 0 risk of running out of money. They make billions in profits.

Smaller companies that are still not generating profits? Absolutely they need cuts to survive.

Both of these things are true at the same time. I’m continually surprised at how quickly people have bought the excuse trotted out by extremely profitable companies for mass layoffs. In that situation it is primarily an exercise in juicing up the stock price and keeping investors happy.

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andsoitis3y ago

> Amazon and Meta are at 0 risk of running out of money. They make billions in profits.

Companies don’t try to break even, they try to make money because higher ROI means you’re more valuable.

kqr3y ago

More than just make a profit -- they need to be a better investment than e.g. Treasury bonds, for the additional risk. Which means higher Fed rates put the bar higher for acceptable profit levels for companies.

deltree73y ago

How about you go raise money to start a company and tell them this exact thought process?

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