A CEO’s competency is measured by how they raise value for the shareholders. This means increasing the rate of exploitation; getting more out of the workers while giving them less.
Shareholders elect a CEO based on expected effect on dividends and share prices (for spherical capitalists in a vacuum, in reality class consciousness, nepotism, etc play into it)
Profit is a function of revenue minus expenses (such as wages); to increase this, you can either get more out of the labor you’re buying or buy that labor at a lower price.
I’m sure you might be able to find a “better” CEO who fails to prioritize profit at the expense of the owners, but capitalists who only pick losers get out competed by more efficient ones.
Without a competent CEO there’s no workers to be responsible of
You’re missing the point.
A CEO’s competency is measured by how they raise value for the shareholders. This means increasing the rate of exploitation; getting more out of the workers while giving them less.
That is extremely naive and narrow view of the job of a CEO.
Which part are you having trouble with?
Shareholders elect a CEO based on expected effect on dividends and share prices (for spherical capitalists in a vacuum, in reality class consciousness, nepotism, etc play into it)
Profit is a function of revenue minus expenses (such as wages); to increase this, you can either get more out of the labor you’re buying or buy that labor at a lower price.
I’m sure you might be able to find a “better” CEO who fails to prioritize profit at the expense of the owners, but capitalists who only pick losers get out competed by more efficient ones.