Explore BrainMass

Explore BrainMass

    Critique - Ten Ways to Create Shareholder Value

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Write a critique of the attached article. The critique should include aspects such as, What is the author saying? What, if any, facts or data are provided? What are the author's arguments? Are the arguments supported? What are the implications? What is omitted?

    10 Ways to Create Shareholder Value
    By Alfred Rappaport

    © BrainMass Inc. brainmass.com June 4, 2020, 2:45 am ad1c9bdddf

    Solution Preview

    Dear Customer,

    10 Ways to Create Shareholder Value
    by Alfred Rappaport

    The article provides a deep insight into ten steps that companies can take to create shareholder value. Author Rappaport has effectively used real life examples and simple techniques to explain the main areas that need to be looked into to help businesses created stakeholder value. Here the author has developed the article in a very simple, clear, crisp and precise manner and the overall readability of the article is high. A brief summary of the steps to create shareholder value is discussed below.

    Principle 1: Do not manage earnings or provide earnings guidance: The author has expressed that a research showed that only 20% of the respondents were focused on the value creation stages like research and development, etc. However almost 80% of the respondents do not focus on the value creating and are willing to forgo the value creating stages in order to meet the earning benchmarks. Here the author explains how this is not an effective manner for business. A very strong and excellent point has been made here, "Those that can no longer meet investor expectations end up destroying a substantial portion, if not all, of their ...

    Solution Summary

    The solution provides a detailed crtique of the article. All aspects have been covered in detail.