Under the Shareholder Wealth Maximization Model of Corporate Governance It

question 52

True/False

Under the shareholder wealth maximization model of corporate governance it is assumed that the long-term or "loyal" stockholders should influence corporate strategy more than the transient portfolio investor.

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Definitions:

Attributional Ambiguity

A phenomenon whereby members of stigmatized groups often can be uncertain whether negative experiences are based on their own actions and abilities or are the result of prejudice.

Discrimination

Unequal treatment or prejudice against individuals on the basis of their membership in a particular group, negatively affecting their opportunities and well-being.

Cognitive Dissonance Theory

A theory suggesting that people experience discomfort (dissonance) when holding conflicting cognitions and are motivated to reduce this discomfort by altering attitudes, beliefs, or behaviors.

Outgroups

Groups to which a person does not belong or identify, often viewed as different or outside the social norm.