Ann: Executive director appointment, page-169

Thanks for that insightful viewpoint. It took longer than I expected.

Here's an excerpt out of Investing For Dummies.

Performance Indicator of Executive Management Since a company's share price is often used as an indication of the overall strength and health of the company, as the stock price climbs over time, the management is considered to be doing a good job. If shareholders are happy and the company is doing well, as reflected by its share price, the management would likely remain and receive increases in compensation. However, if the company is not performing well and the share price is declining, the executive management is at a high risk of being removed by the Board of Directors, who are elected by the shareholders. In short, if shareholders returns are unfavorable and the share price lags, management would likely be removed.