To whom does the management owe its ultimate allegiance?

Question

Quizplus · Accepted Answer

The ultimate allegiance of the management is towards the stakeholders, which includes shareholders, customers, employees, suppliers, and the community at large. The management is responsible for creating value for the stakeholders by ensuring ethical practices, delivering quality products/services, generating profits, and contributing to the overall welfare of society. While the management may have to comply with legal and regulatory requirements, their primary focus should be on meeting the needs and expectations of the stakeholders.

To Whom Does the Management Owe Its Ultimate Allegiance