Question

The main point of R. Edward Freeman’s article is that: A Corporations shouldn’t care about the...

The main point of R. Edward Freeman’s article is that:

A

Corporations shouldn’t care about the interests of shareholders.

B

Corporations have responsibilities to other people, not only to shareholders.

C

Corporations should only care about the interests of those who own their stock.

D

Corporations should maximize profit regardless of anyone else’s interests.

E

The corporate system should be abolished completely.

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Answer #1

1. B. Corporations have responsibilities to other people, not only to shareholders.

It refers to the stakeholder theory that just about everyone that is affected by the company's processes is a stakeholder and therefore, the company holds responsibility for them.

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