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Maximising Shareholder Value

What should companies do? What is the main objective for companies? For many observers, companies should focus on maximising shareholder value or shareholder wealth. This ideology of maximising shareholder value is prevalent in most Western economies. In the video below, Bill Lazonick critiques this ideology and suggests that it is bad for economic prosperity in the long run. Click here for a paper by Lazonick on this topic.


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