--%>
Assignment Help - homework help

French Association of Private Companies

In the year 1995, working group of the French chief executive officers was formed by the Confederation of French Industry (CNPF) and the French Association of Private Companies (AFEP) for studying the structure of the French corporate governance. Group has reported the following, among the other things “The board of directors must not simply aim at increasing the share values as in the U.K. and the U.S. Instead, its goal must be to serve the company, interests of those should be clearly distinguished as compared to those of its shareholders, creditors, employees, suppliers and clients however,  still equated along with their general common interest, that is to safeguard the continuity and prosperity of the company”. Talk about the above recommendation of working group.

E

Expert

Verified

The recommendations of the French working group apparently show that maximization of the shareholder wealth is not a unanimously accepted aim of the corporate management, mainly outside the United States and probably a few other Anglo-Saxon countries together with the United Kingdom and Canada. To the some extent, this can reflect the fact that share ownership is not a wide spread in most of the other countries. In France, around 15% of households own shares.

   Related Questions in Financial Accounting

  • Q : What do you mean by the term turnover

    What do you mean by the term turnover?

    		•
  • Q : Cash Discount State the definition of

    State the definition of Cash Discount?

    		•
  • Q : Phenomenon of pricing-to-market

    Describe the phenomenon of pricing-to-market.

    		•
  • Q : Problem on National income Providing

    Providing reasons, describe the treatment assigned to the following which estimates national income.(i) Family members working freely on farm owned by family.(ii) The Payment of interest on borrowings through general government.

    		•
  • Q : Letter of Credit What do you mean by

    What do you mean by Letter of Credit?

    		•
  • Q : Investment approach of Lynch Investment

    Investment approach of Lynch: Peter Lynch, the best known mutual fund manager, also adopts the words of Benjamin Graham in the sense that he looks at companies not from the perspective of how the stock prices move

    		•
  • Q : Calculating Average Cost 1 You're

    1 You're trying to save to buy a new $200,000 Ferrari. You have $40,000 today that can be invested at your bank. The bank pays 5.5 percent annual interest on its accounts. How long will it be before you have enough to buy the car? 2 Although appealing

    		•
  • Q : Objective Questions on Sociology 1)

    1) Which large European city declined significantly in population over the past century? A) Paris B) London C) Rome D) Madrid 2) The industrial city was characterized b A) decentralization B) corporate growt

    		•
  • Q : Case study of a local public utility

    The local public utilities commission has been charged with inspecting and reporting utility problems in the area. They have three electrical inspectors and two gas inspectors, each available for 40 hours , to analyze structures in their respective areas of expertise.

    		•
  • Q : Payment method-Buy pound or investing

    When you have visited the London, you have purchased a Jaguar for £35,000, which is payable within the three months. Enough cash is there at your bank in the New York City that pays 0.35% of interest per month, compounding monthly, to pay for car. Presently, spo

    		•