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officialchicken 3 hours ago

Bottom line: How do these layoffs increase the successful outcome of product launches on the platform in any way?

john_strinlai 3 hours ago | parent | next [-]

i think the goal is to increase profit by reducing operating expenses, not to increase the successful outcome of product launches.

fourseventy 2 hours ago | parent | prev | next [-]

Well if the company goes out of business because its not making enough profit then all product launches will cease.

cootsnuck an hour ago | parent [-]

Saying that would be a much more reasonable layoff announcement. "Shit is good. But not that good. If we don't change course now, things may be less than good."

If that's what they actually believe, they could just say it.

They don't because optics are more important than honesty. Can't spook would be investors. Must control the market's narrative about the viability and growth-trajectory of your company at all times. It's tiring.

spacebanana7 3 hours ago | parent | prev | next [-]

The negative metric is more important - if you can cut staff costs by 20% with only 5% reduction in revenue/innovation that’s a win from an investor’s perspective.

SoftTalker 3 hours ago | parent [-]

Not really. Investors want profits yes, but value is based on largely on expectations of growth. Declining revenue is not a sign of a healthy, valuable company.

ricardobayes 2 hours ago | parent | prev [-]

In my subjective opinion, they don't. Layoffs almost always cause an atmosphere where taking risks is disincentivized.