Five Reasons to Support Shareholder Primacy

Elson, Charles M.
April 2010
NACD Directorship;Apr/May2010, Vol. 36 Issue 2, p63
The article discusses the reasons why shareholder primacy should be supported. The author highlights the implications of failure to prioritize the interests of shareholders' interests which he believes will drive away investors and capital. He asserts the role of shareholder primacy as the key to the entire capital system. He underlines the problems associated with the stakeholder system. He cites the significance of director compensation as proof of the importance of shareholder primacy.


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