Description
Discuss - top companies such as IBM and Tesco say that the customer is king, will customer choice continue to be unrestrained in A) 2020 and B) 2050? Explain your Thinking in each future state scenario.
Explanation & Answer
Attached.
Introduction
Agency conflicts and their solutions
Paragraph 1
- The management is tasked with the responsibility of governing the enterprise in a
manner that results in maximal benefits to the shareholders
- The manager has a moral obligation to execute their mandate in a manner that results in
the highest personal gain
Paragraph 2
- There are three broad categories of agency problems
- The first category involves the owners of a business and the managers
Paragraph 3
- Representation is the ideal solution to minimize agency costs across the board
- The minor shareholders, employees, or contractors, could demand representation in the
management to ensure their rights ...