I understand the stock market is a useful place to gain capital which allows further growth of a company. But it seems to me that even companies that have been on the stock market a while, appear to have reached a stable limit, and are unlikely to grow anymore; are considered failures if they don't grow, even if they make a stable profit.

It seems to even hurt these companies sometimes. For example, a venture capital firm buying a stable firm that seems obvious to me to be unlikely to grow; trying to grow it, and if they don't succeed they just drain the assets of that company and it gets closed.

I just wondered if this mentality has been around since the inception of the stockmarket, why it happens so much, and if there's an underlying reason?


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