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Simply put: if the board doesn't maximize the interests of the shareholders, the board will be replaced by a board who does. Because of this control mechanism a
by melvinmt 14y ago
Simply put: if the board doesn't maximize the interests of the shareholders, the board will be replaced by a board who does. Because of this control mechanism a public company will always take care of the shareholders first before anything else.
- brazzy 14y agoIt's not a given that the interestes of the shareholders are to "maximise profit over everything else".