Business & Finance
Definitions

Is CEO and owner mean the same thing?

Answer

Wiki User
08/07/2014

The owner of the company means who has 100% financial interest over the assets of the said Co. As the name indicates, CEO or Chief Operating Officer is responsible for the day to day operations. Business decisions are approved by CEO. The CEO is an Executive who is paid remuneration along with various fringe benefits by the Company for his rendering service to the Company.

additional: The owners(s) will often establish a board of directors. The CEO who may also be a board member essentially works for the board of directors and the owners. His responsibility is to manage and run the company. To simply add to the well presented answer, it can be noted that an owner, based on the above definitions, can indeed name him or herself as the CEO and yes will have a sear on the Board.

additional: in a corporation the effective owner is the individual or group that owns 51% of the stock. While the minority stockholders are "owners" they can be outvoted on any decision, most often control is exerted via board members. An example is Karl ichan who buys up a controlling or at least a substantial interest in a company and then exerts pressure on the board, often by threatening to dump his large stock holdings and depressing the market for the shares.