Which of the Following Is Implied by the 'Shareholder Primacy

question 29

Multiple Choice

Which of the following is implied by the 'shareholder primacy' view of corporate reporting?

• A) Regulators should mandate greater social and environmental reporting.
• B) Reporting should primarily meet the needs of those with a financial stake in the organisation.
• C) Organisations will voluntarily adopt greater social and environmental reporting.
• D) All of the given options are correct.

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Definitions:

Individual Freedom

The liberty of an individual to act, speak, or think without hindrance or restraint, subject to the laws and social norms.

Moral Cohesion

The unity or bond formed within a society or group based on shared ethical values and moral beliefs.

Iron Cage

Max Weber's metaphor for the increased rationalization inherent in social life, particularly in Western capitalist societies, leading to individuals feeling trapped by bureaucracies and rigid rules.

Rational Systems

Organizational structures that operate based on clear rules, regulations, and procedures aimed at achieving efficiency and predictability.