shareholder

Examples of shareholder in the following topics:

• Types of Stakeholders

  • Primary stakeholders are usually internal stakeholders who engage in economic transactions with the business, such as shareholders, customers, suppliers, creditors, and employees.
  • The concept of a stakeholder is explicitly broader than a shareholder; shareholder refers to specifically to someone who owns shares (or stock) of a company, while stakeholder may be any group that may be affected by an organization.
  • Many corporate leaders consider their primary responsibilities to be not only to create financial value for the shareholders, but to meet the needs of their customers.
  • In a stock corporation, the board is elected by the shareholders and is the highest authority in the management of the corporation.
  • A stockholder, or shareholder, is an individual or institution that legally owns a share of stock in a public or private corporation.

• Arguments for and against Corporate Social Responsibility

  • Milton Friedman and other conservative critics have argued against CSR, stating that a corporation's purpose is to maximize returns to its shareholders (or shareholder value) and that it does not have responsibilities to society as a whole.
  • CSR refers to the practice of companies integrating ethical, social, environmental, and other global issues into their business operations and in their interaction with their stakeholders (employees, customers, shareholders, investors, local communities, government).

• Working with Management

  • This typically involves making a profit (for the shareholders), creating valued products at a reasonable cost (for customers), and providing rewarding employment opportunities (for employees).
  • In most models of management and governance, shareholders vote for the board of directors, and the board then hires senior management.
  • They hold specific executive powers conferred onto them by the board of directors and or the shareholders.
  • There are most often higher levels of responsibility, such as a board of directors and those who own the company (shareholders), but they focus on managing the senior management instead of the day-to-day activities of the business.

• External Stakeholders

  • External stakeholders include shareholders, or stockholders, as well as governmental bodies, communities, financiers, and customers.

• Management in Different Types of Business: For-Profit, Non-Profit, and Mutual-Benefit

  • A mutual is therefore owned by its members and run for their benefit; it has no external shareholders to pay in the form of dividends, and as such does not usually seek to generate large profits or capital gains.
  • Managers in mutual benefit organizations are, therefore, more concerned about improvements in human and environmental well-being than maximizing profits for external shareholders.

• Types of Organizations

  • A non-government for-profit corporation is owned by its shareholders, who elect a board of directors to direct the corporation and hire its managerial staff.
  • Some businesses with shareholders and layers of directors and managers may choose a more formal, hierarchical approach to communicate internally.
  • Incorporated entities have legal rights and liabilities that are distinct from those of their employees and shareholders and may conduct business as either a profit-seeking business or a not-for-profit business.
  • Typically, shareholders do not actively manage a corporation; instead, they elect or appoint a board of directors to control the corporation in a fiduciary capacity.

• The Mission Statement

• Applying the Ethical Decision Tree

  • It is a particularly useful tool for considering stakeholders such as employees, customers, shareholders, and communities.

• The Financial Value of Social Responsibility

  • Other financial benefits from CSR accrue directly to shareholders.

• Defining Management

  • This typically involves making a profit (for the shareholders), creating valued products at a reasonable cost (for customers), and providing rewarding employment opportunities (for employees).
  • In most models of management/governance, shareholders vote for the board of directors, and the board then hires senior management.