Suppose your company is very successful, and you cash out most of your stock and turn the company over to an elected board of directors. Neither you nor any other stockholders own a controlling interest (this is the situation at most public companies). List six potential managerial behaviors that can harm a firm’s value.

My company gets very successful hence the launching of other branches takes place. It is also able to sell out most shares and earns a lot of revenue in return for the company. When I had to leave for the Pacific for my passion for underwater photography, the company was left to be run by a board of directors.

Some managerial behaviors practiced by the directors may lead to a decrease in the firm’s value. These behaviors include: being unresponsive, not setting a good example to others, taking special privileges for themselves, being over-promising and under-delivering, holding back critical information, and ignorance of performance problems.

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Academic.Tips. (2023) 'Suppose your company is very successful, and you cash out most of your stock and turn the company over to an elected board of directors. Neither you nor any other stockholders own a controlling interest (this is the situation at most public companies). List six potential managerial behaviors that can harm a firm’s value'. 11 March.

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Academic.Tips. (2023, March 11). Suppose your company is very successful, and you cash out most of your stock and turn the company over to an elected board of directors. Neither you nor any other stockholders own a controlling interest (this is the situation at most public companies). List six potential managerial behaviors that can harm a firm’s value. https://academic.tips/question/suppose-your-company-is-very-successful-and-you-cash-out-most-of-your-stock-and-turn-the-company-over-to-an-elected-board-of-directors-neither-you-nor-any-other-stockholders-own-a-controlling-intere/

References

Academic.Tips. 2023. "Suppose your company is very successful, and you cash out most of your stock and turn the company over to an elected board of directors. Neither you nor any other stockholders own a controlling interest (this is the situation at most public companies). List six potential managerial behaviors that can harm a firm’s value." March 11, 2023. https://academic.tips/question/suppose-your-company-is-very-successful-and-you-cash-out-most-of-your-stock-and-turn-the-company-over-to-an-elected-board-of-directors-neither-you-nor-any-other-stockholders-own-a-controlling-intere/.

1. Academic.Tips. "Suppose your company is very successful, and you cash out most of your stock and turn the company over to an elected board of directors. Neither you nor any other stockholders own a controlling interest (this is the situation at most public companies). List six potential managerial behaviors that can harm a firm’s value." March 11, 2023. https://academic.tips/question/suppose-your-company-is-very-successful-and-you-cash-out-most-of-your-stock-and-turn-the-company-over-to-an-elected-board-of-directors-neither-you-nor-any-other-stockholders-own-a-controlling-intere/.


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Academic.Tips. "Suppose your company is very successful, and you cash out most of your stock and turn the company over to an elected board of directors. Neither you nor any other stockholders own a controlling interest (this is the situation at most public companies). List six potential managerial behaviors that can harm a firm’s value." March 11, 2023. https://academic.tips/question/suppose-your-company-is-very-successful-and-you-cash-out-most-of-your-stock-and-turn-the-company-over-to-an-elected-board-of-directors-neither-you-nor-any-other-stockholders-own-a-controlling-intere/.

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"Suppose your company is very successful, and you cash out most of your stock and turn the company over to an elected board of directors. Neither you nor any other stockholders own a controlling interest (this is the situation at most public companies). List six potential managerial behaviors that can harm a firm’s value." Academic.Tips, 11 Mar. 2023, academic.tips/question/suppose-your-company-is-very-successful-and-you-cash-out-most-of-your-stock-and-turn-the-company-over-to-an-elected-board-of-directors-neither-you-nor-any-other-stockholders-own-a-controlling-intere/.

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