READ BOOK ☆ The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public - by Lynn Stout #2020


  • Title: The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public
  • Author: Lynn Stout
  • ISBN: 9781605098135
  • Page: 173
  • Format: Paperback

  • The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public By Lynn Stout Executives, investors, and the business press routinely chant the mantra that corporations are required to maximize shareholder value In this pathbreaking book, renowned corporate expert Lynn Stout debunks the myth that corporate law mandates shareholder primacy Stout shows how shareholder value thinking endangers not only investors but the rest of us as well, leadingExecutives, investors, and the business press routinely chant the mantra that corporations are required to maximize shareholder value In this pathbreaking book, renowned corporate expert Lynn Stout debunks the myth that corporate law mandates shareholder primacy Stout shows how shareholder value thinking endangers not only investors but the rest of us as well, leading managers to focus myopically on short term earnings discouraging investment and innovation harming employees, customers, and communities and causing companies to indulge in reckless, sociopathic, and irresponsible behaviors And she looks at new models of corporate purpose that better serve the needs of investors, corporations, and society.
    Lynn Stout
    Lynn Stout Is a well-known author, some of his books are a fascination for readers like in the The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public book, this is one of the most wanted Lynn Stout author readers around the world.

    The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public By Lynn Stout

    Commentaires:

    David Schwan
    Short rather dense book The first thirty of so pages could have been reduced to a paragraph or two The author steps through a set of mis assumptions regarding corporations in the US and at one point contrasts US law with British law and makes some interesting observations about the differences Like many if the financial ideas that have come out of the University of Chicago notions about shareholder rights and primacy is a half baked idea that in the real world has been a failure The author gives [...]

    Ankit Agrawal
    An extremely interesting book that directly questions the prevalent wisdom of our times the primacy of shareholders in each and every aspect of corporate decision making and governance The most eye opening aspect for me was the revelation that no law, unlike what is taught and preached everywhere and I also took as a given thus far, states that the shareholder is supreme A company s management is not obligated to maximize profits for its shareholders I would have dismissed the book as a made up [...]

    Mal Warwick
    If you own stock, invest in companies, or are starting a new business, read this book If you so much as skim the business pages in a newspaper, there s little doubt you ve heard it said or seen it written that corporate officers and directors are required by law to maximize shareholder value and that they re subject to lawsuits if their decisions favor any other stakeholder such as employees, customers, or suppliers over profit The well entrenched view that shareholders are paramount is widely r [...]

    Matthew Beyerle
    Fascinating take about the cons of the shareholder primacy philosophy of corporate governance A great book to read when ruthless capitalism and wealth creation sometimes seem to take priority in the world of finance theory.

    Matt Cambridge
    Read for International HR at MSU Really interesting and intriguing perspective, dispelling some really common practices and thoughts that corporations should value shareholder wealth above everything else The Enron case is used here as a cautionary tale.

    Valectrice
    Interesting discussion of the purpose of corporations.

    Monica Meagher
    Must read for anyone who believes corporations must maximize shareholder value Clear and concise.

    Paul Millerd
    Good read The right length Good book if you are interested in the business and legal history on the topic.

    Brian
    Corporate misconduct is a plague on society in a way that few can ignore Many want to end corporate personhood, but it is not clear how that would solve many of the worst problems of corporations.Corporations are created by the State, that is by government, to serve a limited public purpose They are not created by shareholders or incorporators, and they are not owned by the shareholders They are not required by law to maximize profits or to make the shareholders rich In this brief and accessible [...]

    Zach
    A strong, well supported treatise on the potentially destructive nature of embracing the seductively simple shareholder primacy economic model.Unfortunately hampered somewhat by my limited knowledge of economics, though given the sheer volume of things I had to look up to feel satisfied in completing this book, that limit has shrunken significantly.Anyway, a good read that does lack a key detail how we galvanize a somewhat uninvolved public into acknowledging the flaws in shareholder primacy whe [...]

    Barney
    The author, in her capacity as a professor of law, explains that the idea that directors of corporations are bound by law to do anything in their power to increase stock price, is wrong, even though it has floated around in the press and academia for a while now Not only is it legally speaking wrong, she tells us, but also ineffective, and even damaging in many ways, towards even the shareholders themselves The book proposes that directors should be left to their own machinations, because that w [...]

    Jacob
    This book was written by an attorney and it shows although it s only 115 pages, you have to read it slowly to figure out what the author means by her statements Thankfully or not , she repeats many of them so you have multiple opportunities to let certain ideas sink in, which also means that this book could have been even shorter Also, this book seems targeted toward the general public those who are shareholders, anyway , but the author is noticeably absent in making any recommendations about wh [...]

    Mike
    In 1970, economist Milton Friedman wrote in the NY Times magazine that because shareholders own corporations, the only social responsibility of business is to maximize profits Thus began the ascendancy of Shareholder Value Thinking, which has become the default assumption of executives, investors, regulators, and even the academic community The author argues that this has not served any of those constituencies well First, US corporate law does not and never has required public corporations to ma [...]

    Robert
    This book makes a pretty straightforward but extremely important point Since the 1980s, we ve been running our corporations with the single goal of maximizing short term stock prices That goal is not legally required and is extremely detrimental to employees, customers, and long term investors Therefore, it should be abandoned Stout walks through the corporate law on what priorities boards of managers can have, the economic theory of how corporations work, and the empirical performance of compan [...]

    Duncan
    Great little manifesto arguing that the theory of shareholder primacy firms exist to make shareholders rich is flawed and not really based in corporate law She knows her law she s a law professor and convincingly deconstructs the principal agent premise of shareholder primacy the second part of the book argues that shareholder primacy actually harms shareholders focused hedge funds rip off the universal investor whose interests are broader than a single stock price I agree with her overall thesi [...]

    Dan Pasquini
    I d give it 3.5On content, 5 stars.On style, 2 stars.This is some truly eye opening stuff that will profoundly change the way you view corporations and shareholders The author argues her points logically and concisely perhaps too concisely There are only 115 pages here and she does repeat herself a lot so it s really even shorter than that While it is well footnoted, there are certain areas where a bit depth, a bit analysis, would have given the book additional intellectual heft But, hey, Tom [...]

    Steve
    Here is a much up to date and effectively argued book on this subject than the one reviewed recently In the words of the author a law school professor and expert on corporate law Viewed dispassionately, shareholder value ideology shows all the signs of a defunct economist s idea, It is inconsistent with American corporate law misstates the economic structure of public companies and lacks persuasive empirical support Not only does shareholder value ideology fail on inductive grounds, it is riddl [...]

    Alyce
    I found this disappointing I thought the subtitle should have been Why Management and Boards Should Have Complete Control and Everybody Else Should Shut Up The management centric spin on this was weird, as was the demonization of good corporate governance policies at public companies That said, it did bring up some good points, for example refuting the conventional wisdom that maximizing shareholder value is actually a legal mandate for corporate managements and boards I wouldn t say don t read [...]

    Brian G. Murphy
    Given the common money manager mantra of investing in companies with managements that unlock shareholder value this seemed a compelling other side of the argument choice It s worth a read if only as thought provoking content some of Stout s examples are persuasive, but likely the exceptions and not the rule.

    David Marshall
    Please see the review from my friend Mal Warwick He said it much better than I could This book turns the whole idea of who owns the company upside down, and offers a much healthy and holistic way of looking at company shareholder and stakeholder stewardship Written by a Cornell Law School professor.

    C. Scott
    A pretty damning critique of shareholder value maximization SVM According to the author SVM is not only bad for stakeholders, but ultimately shareholders and companies as well I already believed that before picking up this book, but the argument was satisfyingly logical.I d steer clear from this book if you don t have a firm grasp on the topic to begin with.

    Erik Hiller
    The book helps explain in simple language that Corporations, under US law, are not required to increase shareholder value contrary to popular perceptions about corporate legal responsibility It is also brief, which I appreciate to explain this rather simple concept.

    CRAWFORD COLLINS
    Great read This book confronted and correct the basic assumptions underlying my understanding of finance and I studied and now work in the industry Highly recommended for anyone with an interest in business.

    Eva Sanz
    Incre ble Y lo mejor o m s bien lo peor que las grandes empresas se mueven todav a bajo ese influjo y que no creo que cambie a corto medio plazo.

    Amanda
    It is a short book and a quick read and gives a very good explanation why corporations seem so sociopathic and why they really don t have to be.

    Geoffrey Kozen
    Just in case anyone needed another reason to gleefully torture Carl Icahn to death for personally ruining America

    • READ BOOK ☆ The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public - by Lynn Stout
      173 Lynn Stout
    • thumbnail Title: READ BOOK ☆ The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public - by Lynn Stout
      Posted by:Lynn Stout
      Published :2019-05-15T09:07:34+00:00