> > why might profit maximisation be considered inappropriate by a firms stakeholders other than shareholders

why might profit maximisation be considered inappropriate by a firms stakeholders other than shareholders

why might profit maximisation be considered inappropriate by a firm...

121 Views

why might profit maximisation be considered inappropriate by a firms stakeholders other than shareholders

why might profit maximisation be considered inappropriate by a firms stakeholders other than shareholders

Answer

Profit maximization is often considered inappropriate by a firms stakeholders (like the government or the company's employees) other than shareholders because stakeholders have more of an embedded, and oftentimes less-financial interest in the company than shareholders, who can invest in a company without really caring much about what the company does.
Profit maximization usually involves risk, which can be riskier for the stakeholder than the shareholder.

To see more answers head over to College Study Guides
Virtual Teaching Assistant: Colleen R.
Question Level: Basic
Karma: Free
Upload Date: 5/31/2017

This 28 words question was answered by Colleen R. on StudySoup on 5/31/2017. The question contains content related to Business Since its upload, it has received 121 views.

Recommended Questions