Which of the following managerial motives for conglomerations benefits shareholders?
A)Norms.
B)Reducing managers' employment risk.
C) Organizational stability.
D) Pursuing power, prestige, and income.

Question

Quizplus · Accepted Answer

Organizational stability can benefit shareholders as it can provide stable returns and reduced risks. Norms and reducing managers' employment risk may benefit managers but may not necessarily benefit shareholders. Pursuing power, prestige, and income may benefit managers but may not necessarily result in increased shareholder value.

Which of the Following Managerial Motives for Conglomerations Benefits Shareholders