BUSINESS ADMINISTRATION
ENTREPRENEURIAL DEVELOPMENT
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Detailed explanation-1: -Shareholders typically receive declared dividends if the company does well and succeeds. Also called a stockholder, they have the right to vote on certain matters with regard to the company and to be elected to a seat on the board of directors.
Detailed explanation-2: -A public company’s board of directors is chosen by shareholders, and its primary job is to look out for shareholders’ interests. In fact, directors are legally required to put shareholders’ interests ahead of their own.
Detailed explanation-3: -The executive board is made up of company insiders that are elected by employees and shareholders. In most cases, the executive board is headed up by the company CEO or a managing officer. The board is typically tasked with overseeing the daily business operations.
Detailed explanation-4: -Internal (primary) stakeholders A company’s employees, managers and board of directors make up a business’s internal stakeholders. Employees of the company are invested in the company’s performance to ensure they continue to be paid and retain their jobs.
Detailed explanation-5: -The board of directors is elected by the shareholders of a corporation to oversee and govern the management and to make corporate decisions on their behalf.