Here is the synopsis of our sample research paper on Should Corporations be Only Accountable to Shareholders?. Have the paper e-mailed to you 24/7/365.
Essay / Research Paper Abstract
This 7 page paper looks at the way that corporations undertake their operations and considers the argument that corporations should be primarily responsible to their shareholders. The paper looks at the views of Friedman, Carroll and Freeman to assess different stakeholder models that consider the importance of the shareholder. The bibliography cites 6 sources.
Page Count:
7 pages (~225 words per page)
File: TS14_TEcorpshare.rtf
Buy This Term Paper »
Unformatted sample text from the term paper:
corporations, and when corporations decide what also should follow, who should they be considering, is their main ethical responsibility to the shareholders, or should they be considering the broader stakeholder
environment. Different theorists have taken different approaches on these issues. The classical approach to corporate governance and corporate social responsibilities holds that the primary stakeholder group of the shareholders, and
as such it is the shareholders which should be considered first and foremost in the way that strategies are determined and goal set by an organization. When considering the classical
view it has been argued by Lantos (2001) that there are two perspectives on this approach, one is the harder line pure profit-making view as advocated by Carr (1968), which
may be seen as the most extreme off the shareholder wealth maximization models where there is the ability for the organization to undertake some degree of dishonesty if it is
for the benefit of the shareholders, with Carr likening business to a poker game in the need for bluffing. Friedman, the most commonly quoted the risk for the classical theory,
and winner of the Nobel Prize, takes the alternative classical approach which is defined by Lantos as the constrained profit-making view (Lantos, 2001). In this perspective it is believed the
company should behave honestly, but that the primary stakeholder group remained the shareholders and as such their primary responsibility is to those stakeholders.
Friedmans argument was that business have only one social responsibility and that is the responsibility to their shareholders or owners; the increasing of their profits (Chryssides et al, 1999).
The effect of this statement is obvious, it denies that there is any further responsibility to other stakeholders, save that of the owners of the business (Chryssides et a, 1999,
...