Question

Shareholder vs. Stakeholder philosophies in corporate governance?

Shareholder vs. Stakeholder philosophies in corporate governance?

Homework Answers

Answer #1

In corporate governance , shareholders is found in classic economic

Precepts , including goals of maximizing weath for investors and owners .this is also where shareholders orientation should drive

A firm's decisions towards the serving the best interest of investors.

Where as stakeholders corporate governance adopts a broader

View of the purpose of business .not only company have to answer to stockholders but also the stakeholders such as employees , supplies, government regulators etc....

Although two governance have their differences they both have to be economically successful and viable.

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