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Question
Which of the following best describes the stakeholder model of corporate governance?a. The primary focus of this model is social welfare, to the exclusion of economic welfare.
b. A company has responsibilities to many stakeholders including investors, employees, suppliers, government agencies, and the community.
c. A company's primary responsibility is to maximize the wealth of its most important stakeholder, the owners.
d. Because corporations have many managers and resources, it is possible to equally and fully address the needs of all stakeholders.
e. The stakeholder model is a more restrictive approach than the shareholder model approach to corporate governance.
Answer
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Related questions
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e. Reinforce the policy through measurements and rewards.