In recent years there has been an increasing focus on the wealth maximization model of corporate governance and a move away from the stakeholder capitalism model among MNEs.

Question

Quizplus · Accepted Answer

This statement is true. In recent years, there has been a shift towards prioritizing shareholder value over the interests of other stakeholders, such as employees or the broader community, among some multinational corporations. This is reflected in the rise of the wealth maximization model of corporate governance, which emphasizes the importance of maximizing shareholder returns, and a move away from the stakeholder capitalism model, which posits that companies should balance the interests of various stakeholders in their decision-making.

In Recent Years There Has Been an Increasing Focus on the Wealth