It seems that 'stock dilution' is often portrayed as evil and the CEO and company as shady because of it. At some point most companies have found it necessary to 'dilute' as a tactic. If this wasn't sanctioned then there would be no such thing as 'dilution'. I, for one, am becoming weary and jaded with the word 'dilution' being bandied about to the point where it is simply metaphorically 'tuned out'.
Stock dilution can help raise money for the next stage of growth. It can also help a company just meet its overhead. Essentially, the company can just issue more shares to the market as a secondary offering to attract investors. Investors buy those new shares.