> If inflation and interest rates spike, you'll make out really well.
Will you explain this further?
As I see it - if interest rates spike (and incomes stay the some), buyers will be able to borrow less, not more money at constant monthly payments. So housing values should go down? What am I missing?
This will be interesting. She has three big challenges - with little prior experience in each:
1. Running a public company is vastly different and considerably more complex than managing large teams. She has to build an executive team capable of executing on all fronts. This is beyond hiring the best engineers and product managers, it is about hiring a CFO, COO, GMs, VPs, etc. that can execute on the plan set out by the CEO.
2. Managing a stagnating business requires different skills than a rapidly growing business. Google benefitted from exponential growth in usage, users, revenue. Yahoo is already over the hill. Most incoming CEOs do a top-down review of the business to understand assets and liabilities. They visit customers and large investors. In the end, they have to present a credible plan to the BOD for refocusing the business. Where should you invest or divest? Should you be aligned along product lines, geographically, or along customer segments?
3. Yahoo needs deep tech investments - to do so, it must attract and retain brilliant engineers. It is my understanding that Ms. Mayer's focus at google has been product and not technology. Without proper engineering, the best product ideas will fizzle. How will Ms. Mayer attract the best engineers to Yahoo? Without growth, it is hard to convince the best engineers to join your shop.
Will you explain this further?
As I see it - if interest rates spike (and incomes stay the some), buyers will be able to borrow less, not more money at constant monthly payments. So housing values should go down? What am I missing?