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> Why would a company pay more than they need to?

Remember BlackBerry? Local comp, prevailing wages, "competitive offer" from the "local market". Good relationships with local colleges. No stocks.

A competitor (Apple) paying much more got pretty much all the kids from the schools around Blackberry to apply there first and then go to BlackBerry if they didn't qualify.

Blackberry didn't get acquired. It just got crushed.

But the company was right, it didn't need to pay more to attract local "talent".



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