Six Rules of Brand Revitalization: Learn the Most Common Branding Mistakes and How to Avoid Them, Second Edition

4. Tendency #4: The Focus on Analyst Satisfaction Rather Than on Customer Satisfaction

As we write this book, there is an ongoing public discussion on the case for shareholder reform that moves away from the short-term behavior and immediate rewards that motivate CEOs. Although there have been those who argued for a revision of analysts and shareholders rewards for corporate quarterly increases, the issue came to the front with a letter from Larry Fink, CEO of BlackRock Inc., in April 2015. Mr. Fink sent a letter to the CEOs of the 500 largest publicly listed U.S. companies. His letter urged them to focus on a long-term approach to creating value for shareholders or risk losing BlackRock’s support. He stated that companies should actively avoid ...