The Shareholder Value Myth

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Challenging the prevalent belief in shareholder primacy, this book argues that it lacks legal and economic foundation and fails to enhance corporate performance. The author, a noted legal scholar, highlights how this mindset prioritizes short-term gains over sustainable growth, leading to detrimental effects on employees, customers, and communities. It critiques the focus on immediate earnings, which can result in reckless corporate behaviors and contributed to recent economic crises. The book advocates for a reevaluation of the relationship between shareholders and corporations for better outcomes.