Purchase Solution

Stockholders, Stakeholders, Competition and Improvements

Not what you're looking for?

Ask Custom Question

1. The standard belief in our society is that ownership conveys rights that exceed the rights of the stakeholders. We all accept this without much thinking. So here is the devil's advocate question:

Why does ownership give one more rights to the company than the stakeholders such as employees who actually provide something just as essential as capital (their labor) to making the company successful. Both capital or money and employees are essential so why money or capital which is provided by the owners should be considered more valuable than the work of staff?

2. Why does competition help motivate improvements (It may seem obvious but think about it and try to come up with the not so obvious reasons). And what if you are a manager or CEO of a company that has little if any competition. What might you do to avoid the dangers of no or little competition?

Purchase this Solution
Solution Summary

This solution discusses stockholder, stakeholders, competition and improvements.

Solution Preview

1. The standard belief in our society is that ownership conveys rights that exceed the rights of the stakeholders. We all accept this without much thinking. So here is the devil's advocate question:

Why does ownership give one more rights to the company than the stakeholders such as employees who actually provide something just as essential as capital (their labor) to making the company successful. Both capital or money and employees are essential so why money or capital which is provided by the owners should be considered more valuable than the work of staff?

Ownership gives a person more rights to the company versus those that are stakeholders because they are able to decide what stays or goes. They are more freedom than that of their own employees. Each of them are able to do ...

Purchase this Solution
Free BrainMass Quizzes
Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Organizational Leadership Quiz

This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.

Understanding Management

This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.

Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

View More Free Quizzes
Related BrainMass Solutions

  • Shaping the Market Offering

    The real question is whether you are valuing your stockholders and owners or whether you are valuing your stakeholders which includes all people including employees, stockholders and customers.

  • Stakeholders

    Thus, a company has to be cognizant of how its decisions affect all of its stakeholders and not just the stockholders because stockholders would not be benefited otherwise. 3) Why should companies be responsible to all stakeholders?

  • managers

    EXPLAIN Absolutely false because other stakeholders like customers and employees are also an integral part of the organization and their contribution is extremely important in the shareholder wealth maximization as well.

  • Stockholders and Ethics for Smokeless Tobacco

    This solution briefly identifies the stakeholders, issues and recommendation in 154 words.

  • Accounting questions

    Instructions (a) Who are the stakeholders in this situation? The stakeholders are Mr. Mailor, president of Greenwood Corporation. Vicki Lemke, financial vice-president. The stockholders of Greenwood Corporation.

  • Organizational ethics and responsibility in the 21st century

    •How do stakeholders impact decision-making? •How can a leader be profitable and ethical if the competition is not? •Give an example of a company that has been unethical and the consequences of that action.

  • Audit: Why is the Code of Conduct important to the profession?

    This is so because of the many competition priorities. For example, it is no longer acceptable to just focus on the welfare of stockholders, but also the other groups of stakeholders in doing financial services such as assurance.

  • Who are the financial stakeholders?

    FINAL COMMENT I HOPE THIS HELPS AND TAKE CARE. BEST OF LUCK! This solution explains who the financial stakeholders are and differentiates them from the stockholders.

  • Decision Making

    Therefore, it is always important to make sure that all stakeholders are taken into account, the consumers, the community and the stockholders, in order to make the company as profitable as it can possibly be.

View More Related Solutions