Corporations to partake in different societal activities

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Reference no: EM131711366

Different stakeholders have different interests and those interests may conflict with each other. Societal groups want corporations to partake in different societal activities. Many of those activities, such as donating to a variety of causes and protecting the environment by installing newer equipment, result in higher corporate operating costs. Higher costs may lower financial returns to investors who have taken the risk and the initiative to invest in these corporations. Should corporations be responsible to investors (shareholders) or to society (a variety of stakeholders)?

Reference no: EM131711366

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