conflicts between a shareholders goals ana a managers goal may arise when the shareholder decides to by-pass the principle of agency theory which states that the mangers and shareholders should have equal rights of financial decision making unless one via the other is made to be clearly resolved through devastating financial effects. the conflict from here then oon arises.
Stakeholders are customers, competitors, society, government, managers, workers, shareholders... These stakeholders have different objectives: Shareholders want more profits but managers want the business to expand so as to receive more salary and increase their status. In this case, if managers decide to expand the business, the shareholders will receive less dividend since the money is used for the expansion, thus there is a conflict.. Customers want a better quality of products and a cheaper price. Society wants businesses to use environmentally friendly materials. Workers want a secure job and maybe a high pay...
When you hold a share of a company, you are an investor in the company. You have invested your money in the company and it is the prime goal of the company's management to ensure that they earn sufficient revenue and profit for you "the investor" who has invested in the company. Ideally speaking, shareholders can be considered as owners of the company and the managers can be considered as employees working for the company.
Assuming that you understand what is maximisation, the the question is left only with two words, profit and value. Profit = Incomes - Expenses, while value is simply the relative worth (in monetary or material terms) Profit maximisation will mean the increase in income relative to the decrease in expenses to ensure that the net result is more money inflow (profit) than money outflow (expenses). Value maximisation embraces the increase in the relative worth of a product or matter. An increase in the value or price of a product means that the amount (value) at which a product is traded is more than its original net worth. Therefore, value maximisation entails increases in the amount at which a particular product can be traded.
The primary conflict is that between Raoul and the Phantom, as they vie for Christine's love; the interal conflict of Christine herself, having to choose of the two, is also somewhat present in the first act. Secondary conflicts are those for control of the opera house between the Phantom and the managers Andre and Firmin, and for the top spot as female lead between Christine and Carlotta (although this is not so much of a conflict itself as another facet of the previous one).
I really want to take that new psychology course, but the schedule would conflict with my creative writing class.The conflict between the two managers ended only when one of them was reassigned to one of our other stores downtown.The conflict between Muslims and Christians has been going on for over a thousand years now.Devout Christians are extremely reluctant to accept evolution as fact because of the unavoidable conflict between it and the story of Creation that the Bible tells us.He hates conflict of any kind, but he will stand up for himself when it is truly important.
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