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Business & Finance
Tutor: None Selected Time limit: 1 Day

Maximizing shareholder returns usually implies that the firm must also satisfy customers, employees, suppliers, creditors and other stakeholders. First, rank stakeholders as to expected risk and return and then rank stakeholders as to their importance to the organization’s success. Explain your ranking differences and/or similarities

Sep 4th, 2015

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Rank Stakeholders as to expected risk and return:
- Stakeholder
- Creditors
- Suppliers
- Customers
- Employees

When a company goes under or earning goes down, their stock price will decrease before anything else could happen. Therefore, stakeholder holds the highest risk but also the highest return. 

Maximizing shareholders’ wealth is among the key objectives of corporate governance in various organizations The primary responsibility of attaining the goals of corporate governance is mandated to the management of a given organization The management of the organization is mostly posed of the managers who provide financial stewardship to shareholders’ wealth and the Board of Directors who foresee all the activities of the organization.


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Sep 4th, 2015

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