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Where a Company Is Not Being Managed Properly, Shareholders Can

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Where a company is not being managed properly, shareholders can commence legal action against a company if they can establish that there has been "oppressive conduct".The meaning of oppressive conduct does not encompass conduct that is contrary to the interests of:


Definitions:

Product Promotion

Marketing efforts aimed at increasing awareness and sales of a product through advertising, incentives, and public relations.

Monopolistic Competition

An arrangement in the marketplace where several businesses trade in goods that are akin but not completely identical, affording them limited market authority.

Economic Profits

Profits calculated by subtracting both explicit and implicit costs from total revenues, beyond just accounting profits.

Average Cost

Average cost is the total cost of production divided by the number of goods produced, indicating the cost per unit of output.

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