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yes. so true. and, beyond merely selling off their shares, investors who could prove that management pursued a goal which significantly obstructed a reasonable
by HillaryBriss 9y ago
yes. so true.
and, beyond merely selling off their shares, investors who could prove that management pursued a goal which significantly obstructed a reasonable return on investment probably have a viable lawsuit against management.
the managers of publicly traded companies are supposed to pursue providing a return on investment. they aren't entitled to exclusively pursue other obstructive goals, even goals generally beneficial to society, company workers, the poor, etc. that's not what investors are buying into.
of course, that doesn't mean investors would sue and it doesn't mean the government would necessarily investigate such a company. but there would be reasonable grounds for a lawsuit...
- Negitivefrags 9y agoThis isn't true at all. A company can pursue any not-profit related goal it likes. All that is required is that this information is clearly disclosed to investors.