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Monday, July 21, 2014

Tesco's Share Rise After CEO Quits Shows Why CEO Pay Is So High

Philip Clarke, the CEO of , resigned and the stock is up over 2% as a result this morning. This odd little fact gives us something of a clue as to why CEO pay in general is so high at those large companies. Who is the CEO makes a significant diference to the value of the company: as that’s what shareholders are interested in thus they’re willing to pay large amounts for the right person.

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