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Beyond Incentives and Monitoring, What Could Be a Third Way

Question 14

Multiple Choice

Beyond incentives and monitoring, what could be a third way to align managers' behavior with shareholders interests?


A) Develop strong industry standards for executives' work ethics.
B) Increase penalties for managers who intentionally mislead shareholders.
C) Consult all shareholders on the operational decisions of executives.
D) Ask managers to behave more like shareholders.
E) None of the above.There is no third way.

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