Question 1:

In the article Why Stock Options Are a Bad Option by Freek Vermeulen (HBR, 2009), the following statement is commented:

"Option-laden CEOs made significantly more big losses than big gains. That's because they didn't care much about losses (after all, their options weren't worth anything anyway); all they cared about was profits." potentials".

Discuss this statement from a critical point of view using the theoretical support given in class and the different perspectives on the Company's Objective. (25% w, 700 w).