Monday, November 03, 2008

Japanese Stock Market

James Surowiecki argues that

You can, if you’d like, argue that having companies reject the idea of shareholder value is not a bad thing from the perspective of society. But it’s undeniably a bad thing from the perspective of investors.



I agree with him that unless Japanese companies start to cater to shareholder, the stock price seems likely to continue to fall. I also think it is not necessarily bad thing. Inflated stock price is not good for economy in the the long run.

No comments: