Why a lower share price is good for Facebook

After the breathless build-up, Facebook’s fizzling stock price is drawing plenty of negative reaction this week. But compared to one alternative scenario – a big first-day “pop”, which many investors seemed to have been betting on – this is far preferable in the long run for both the company and its shareholders.

Source: http://blogs.ft.com/tech-blog/2012/05/why-a-lower-share-price-is-good-for-facebook/

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