SHP does indeed present managers with a single clear objective. However, the concept of maximising shareholders’ interest does not come without downsides. This paper contends that shareholders place unnecessary pressure on managers to meet this objective that managers start doing unscrupulous things at the expense of the well-being of the company. Therefore, it is argued that downsides of SHP are too far reaching as it encourages irresponsibility and does not encourage managers in making accountable decisions. Two main arguments will be presented in the next few paragraphs - excessive risk-taking and short-termism.
The first argument is that SHP encourages excessive risk-taking. The 2007 Global Financial Crisis (“GFC”) is an exemplary example
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The more we give in to the priority of shareholders, the less managers are making responsible decisions.
The second argument that seeks to illustrate irresponsible behaviour is the the engagement of short-termism. Short-termism is defined as “the focus of investors and managers on short-term returns at the expense of those over the longer-term” and that the “excessive focus of some corporate leaders, investors, and analysts on short-term, quarterly earnings and a lack of attention to the strategy, fundamentals, and conventional approaches to long-term value
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For example, it may lead managers into making cuts on necessary research and development which is beneficial for future growth and eliminating jobs just because it is beneficial in the short run (for example, BP has not been doing so well but has chose to sacrifice 2000 employees that they would need for long term growth for dividend payouts to its shareholders). These behaviours are detrimental in the long term as they do not promote sustain growth and stability in the
planet, humans attempt to use engineering to alter these natural occurrences in order to reduce damage to our own creations. John McPhee’s The Control of Nature captures these principles and the relationship between the Earth and humans in three case studies involving the Atchafalaya River in Mississippi, the Eldfell volcano in Iceland, and the debris flows of the San Gabriel Mountains. These real-life scenarios are ideal examples of how the Earth’s own tectonic plates and interior energy wreck havoc
geographic origin of the Franciscan rock units. Characterization of the Three Belts The coastal belt of the Franciscan Complex is composed of the youngest and least deformed units and makes up the western quarter of all Franciscan rocks. The rocks of the coastal belt are composed of arkosic sandstones, andesitic graywackes, and quartzofeldspathic graywackes interbedded with radiolarian chert (turbidite deposits) (Blake and Jones, 1981). These sedimentary rocks suggest a depositional environment
administrative support for organizations that provides services to the community. Both types are essential for human service organizations to run smoothly and
In the following study, rock pools from the upper and lower shore of Bracelet Bay, were examined and the organisms within noted. The contents of the two pools were compared. The abiotic variations of the pools were recorded and examined in an attempt to understand why the contents of the pools differed. A greater abundance and variety of organisms was present in the lower shore rock pool, this was due to the lower rock pool being a more benign environment than that of the upper shore. This was
America: Freedom and Violence Imagine the emotionless testimony of a violent youngster, who may not realize he is fingering an accomplice as he quickly excuses his violent act, ¡§Oh I don¡¦t know. I just saw it on TV.¡¨ Countless acts of senseless violence in the past few decades have led our society to believe that although freedom of speech is a trait that separates America from many other countries, it has also made us more brutal. Media outlets such as television, movies, and music have had a
are close to the sun, rocky, and dense. Mercury, Venus, Earth, and Mars are characterised by low masses, small radii, and large densities in comparison to the gas giant planets of the outer solar system. Their chemical compositions are dominated by rock-forming elements and metals such as iron and nickel, the latter concentrated in central cores. Gravitational and magnetic field measurements indicate that terrestrial planet interiors usually are strongly differentiated and subdivided like that of
proper conditioning and mental focus, could achieve such tasking running distance. Elite runners complete the marathon course in just over 2 hours, while the average runner completes it in about 4.5 hours. It’s difficult to comprehend how someone could run, consistently, for 4.5 hours.The actual marathon is simply a formality as the journey starts the day training begins. The outcome, the day of the marathon, is dependent on how successful the training program was executed. Long distance runners are the
enclosure and police found a suicide note in his pants pocket. He started to throw rocks and whatever he could find at the lions and yelled very religious proverbs at them. Obviously the lions felt threatened and they attacked the man. The male lion was dragging the man to the den when police shot and killed both the lions on the spot. The innocent lions were murdered to save a man who wanted to end his own life. Another case of an animal being shot for no reason was Marius the giraffe. Marius was a beautiful
process the following day. Which can be tiring on the long run for instance, for me to maintain active an entire day, I know I at least need to nap for just a few minutes. However, I seemed to notice that, it does not seem to be the same case for many students. Based from what I have observed in my evening class, is that many of my classmates fight their lack of energy with a can of energy drink, whether it is a Monster, a Red Bull or a Rock Star. That is why I am interested on whether a student’s
magma which is molten rock that forms below the earth's surface. Magma can erupt through one or more volcanic vents, which can be a single opening, a cluster of openings, or a long crack, called a fissure vent. It forms deep within the earth, generally within the upper part of the mantle which is one of the layers of the earth's crust, or less commonly, within the base of the earth's crust. High temperatures and pressures are needed to form magma. The solid mantle or crustal rock must be melted under
we could partake in. [IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE][IMAGE] Benefits Table -------------- ACTIVITY COST AVALIABILITY ENJOYMENT SAFETY TIME C.A. H.A. Rock Climbing 5 5 3 3 3 2 4 Wind Surfing 2 4 4 4 2 3 2 Gliding 1 2 5 2 2 5 1 Micro Lighting 1 3 5 2 2 5 1 Parachuting 1 3 4 1 3 4 2 Snowboarding
DISCUSSION BOARD FORUM 1 CASE STUDY INTRODUCTION: I want to begin with my one of my favorite verse in the Bible. “Therefore everyone who hears these words of mine and acts on them, may be compared to a wise man who build his house on rock. Everyone who hears these words of mine and does not act on them, will be like a foolish man who build the house on the sand; the rain fell, and the floods came, and the winds blew and slammed against that house; and it fell and great was its fall.” [Published
People spend their whole lives in search for happiness. Humans try to run away from negative emotions believing negative emotions can only bring negative effects. As reported by Richard Schoch, people are trying to suppress negative emotions by buying items they believe will make them happy such as selfhelp books or antidepressants (452). These people have the wrong idea of how to cope with their “negative” emotions. On the contrary, suppressing negative emotions does the opposite effect of what
existence? If hydraulic fracturing, otherwise known as fracking, were deemed legal, this question may be put to the test. Fracking is a process in which chemicals, sand and water are used in “high volumes… to fracture gas-bearing layers of rock” (Dolesh 2). As the rock breaks, natural gas is released and then collected to be used as energy. The United States is currently sitting on a gold mine of natural gas which could stimulate our ever declining economy. The question is what price are we willing to
Introduction Grouting is a method of injecting a pumpable liquid, suspension, emulsion or mortar which called grout. It is also consists of more or less pervious material that may be natural which is soil or roc or in other case it consists of man-made material which is mansory or concrete. The grout is usually injected through grout holes. The purpose of grouting is to improve the properties of the material. Increase in stress by means increase strength and reduce or increase its permeability.