Wednesday 20 March 2013

Week 2: Why do they earn a fortune?

Read the presentation
http://uwb2m-s.blogspot.com/2013/03/why-are-they-earning-fortune.html
and comment on it please. Share with us your experiences.

5 comments:

  1. I commented under the presentation, but I post the same here also:

    I don't think that problem is the differences in salaries for people in different positions and in different economies. The problem is a scale of this inequality.
    You wrote that everyone gets up in the morning to go to work and earn money, as if it doesn't matter that some people live in extreme poverty and others in excessive luxury.
    You think that you have a great responsibility, because when you make a mistake, your company will loose some money? In the same time, if you are a Chinese factory worker, if you make a mistake and you get fired from work, you or your children will die of hunger.
    Anyway, now, in the time of crisis in Europe, in big companies (especially in Germany and France) there are tendencies to counterbalance salaries. Maximum payments of supervisors are clearly defined as multiple of salary of the low-level employee, so they can't grow unreasonably high.
    Another thing is, that even when some CEO gets fired from work because of exposing their company to millions of dollars of loss, then go with the multi-million severance payment (good example is our national stadium). "Paying for vast responsibility" means paying for nothing.

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  2. First of all most of us, ideally all, are free people with a free will. Secondly most of us works and lives in free market economies. That would mean that in ideal conditions we have equal chances on ending our careers as CEOs making millions of dollars anually. However usual company structure looks like a piramid. At the top there is one CEO, second level are occupied by senior directors and the very bottom of the piramid are low level employees. This also implies differences in salaries - these at the bottom make lowest income, while these at the top earn highest amounts. Is it wrong ? Not in my opinion. If you want to make millions then be creative, do something extraordinary and end up as CEO of your own business.

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  3. I do not know how they did it. I would like to know once and earn a fortune. It seems to me that the greater challenge is to keep the fortune, peace of mind and have a happy family. I prefer to not have that kind of money and have a family and peace of mind.

    But as soon as I will know the recipe for success is sure to share it with you.

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  4. Earning money and paying someone for doing something is thing which is not settled, it is negotiative by that I mean that the worth of something is not more not less what you can pay for it.
    So before you ask about price of some unlabeled thing in shop, think how much you can pay for it and only if the seller say lower price you can buy that.

    Have you ever wonder why celebrities get so much money, and for example scientist dosen't? It is because there is more people who want to watch and support celebrities than someone who can cure cancer. The same is with football players, sports clubs which as you can see don't give our society anything special besides low level entertainment.

    In my opinion this article did not tell very important thing, that money is only a tool not a goal or something valuable. Our perception of money is what counts. If one of these rich man would lose their money it is very likely that they will end up rich again, because they invest not spend everything they have.

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  5. For me it is not shocking at all that those with higher rank are paid better. That`s the way it always has been in economy. Of course with higher payment comes more responsibility as it was mention. For many physically working people those who are sitting by their desk all day do nothing, like they are not aware that computer is not only for checking emails and weather.
    Polish people can also complain for their payment, because in other European countries the same jobs are better paid.
    We cannot look at this problem globally, because in every country there is other economical reality.

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