This comment doesn‘t seem to understand the difference between a capital owner and a leadership position.
Someone who owns a machine is a capitalist (capital owner). That owner can then use the machine to produce something themselves or rent it to out to others. They can also find a different person to produce something with the machine or rent it out. In return for the use of the capital (machine), the owner ask for rent in the form of a share of profits (this is where shares come from) or a fixed rate (rent, credit).
In the ideal case the capitalist gets a steady return without putting in much labor besides checking his bank account regularly. They are not a leader though and don’t make managerial or business decisions on what jobs to take on, who to hire, and other day to day operations. All of that is on the guy running the show, a leader, or CEO.
Of course in practice even most CEOs paid in shares don’t own a significant part of the company. CEOs are hired by the actual owners to perform a job.
Entrepreneurship and starting a business also needs different skills, than keep an existing business running. The former means taking high risks and innovating rapidly. The latter means stability and evolutionary change.
This comment doesn‘t seem to understand the difference between a capital owner and a leadership position.
Someone who owns a machine is a capitalist (capital owner). That owner can then use the machine to produce something themselves or rent it to out to others. They can also find a different person to produce something with the machine or rent it out. In return for the use of the capital (machine), the owner ask for rent in the form of a share of profits (this is where shares come from) or a fixed rate (rent, credit).
In the ideal case the capitalist gets a steady return without putting in much labor besides checking his bank account regularly. They are not a leader though and don’t make managerial or business decisions on what jobs to take on, who to hire, and other day to day operations. All of that is on the guy running the show, a leader, or CEO.
Of course in practice even most CEOs paid in shares don’t own a significant part of the company. CEOs are hired by the actual owners to perform a job.
Entrepreneurship and starting a business also needs different skills, than keep an existing business running. The former means taking high risks and innovating rapidly. The latter means stability and evolutionary change.