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Business > Management (Other) Conflict of interest between managers and shareholders

Managers have always been known to lead and direct an organization or a company by deploying and manipulating of resources i.e. the human, capital, natural, intellectual and intangible. Shareholders on the other hand are the one who holds one or more shares of stock in a joint-stock company. The actual power of the shareholders tends to be very limited though it seems that they are the owners of the companies. They don't have any right to check the book of accounts. Conflict of interest happens when both parties want to maximize each benefit. The shareholders want to see higher profits as ...

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