...Introduction Corporations need management. “Management of the corporation must be consistent with the objectives and powers of the corporation, and they owe duties to the corporation to manage it prudently in the best interests of the corporation and the shareholders as a whole” (Mallor, et al, 2010, p. 1047). Corporations are too large to have one or two people manage all aspects of daily operations. Instead, there are people who hold important positions within the corporation. Many people work together in different areas with specific duties to perform in order to keep the operation running smoothly. Directors and Officers of Corporations The board of directors manages the corporation. “The Board of Directors sets a corporation’s policy and direction, and is empowered to elect and appoint officers and agents to act on behalf of the corporation, declare dividends, and act on other major matters affecting the corporation” ( Corporate Structure, 2012 ). The board of directors is made up of a group of directors. Those people can be appointed or elected. The group works together to make decisions within the corporation. They are responsible for the well-being of the corporation. While making these decisions, directors have to treat all the shareholders equally, being honest and fair while practicing good judgment in management. “The duty of care requires a director to act with the same care that a person in a similar position under similar circumstances” (Kim, 2010). Before...
Words: 736 - Pages: 3
...26, 2012 Abstract Corporations are intricate entities and require many people to aid in its success. The main groups that actively contribute to the corporation are the directors, officers, and shareholders. Each group is vital to the success of the organization. A corporation is a company in the marketplace and is comprised of many people who have specific duties and responsibilities. All people who are part of the corporation are considered corporate people and are important to the day-to-day functioning of the corporation. Some corporate people are given duties that are necessary to achieve the mission of the organization. The key people within a corporation who are responsible for the mission of the organization are the directors, officers, and shareholders. The success of the corporation is largely due the work and success of these people. Duties of Directors of Corporations Directors of a corporation are largely responsible for the day-to-day operations and the direct success of the corporation. The main duty of the directors is to implement control and management within the corporation and to ensure that all functions are carried out in a smooth manger (McNamara, 2008). Part of ensure this is to define the policies and procedures of the organization so that company employees understand what is expected of them and how they can achieve their goals and the mission of the corporation. The directors of...
Words: 691 - Pages: 3
...Citizens United case against FCC in 2010, the court voted that corporations who are nowhere listed in the Constitution and are not political organizations, now have the same right as people under the First Amendment, such as free speech. Corporations can spend all their wealth on promoting specific politicians which will eventually increase the corporations’ profits. In the article “Citizens United and the Corporate Court” by Jamie Raskin, she says that “corporations were already spending billions of dollars lobbying, running issued ads, launching political action committees and soliciting PAC contributions” (Raskin 17). She says that corporations try to use as much money as possible to influence the people to vote for specific candidates in the election. Moreover, corporations only donate money to political campaigns which influences the politician’s decision making. As soon as politicians get elected, they will help increase the corporations’ business profits. This gives the corporations tax breaks and more profits. In the...
Words: 807 - Pages: 4
...Aulton C. Mitchell | | 7019-8 | Jennifer Scott | | | MGT | Michael Novak: Capitalism and the Corporation | | | The topic of ethics just seems to be hard to define when using other peoples’ writings but I never have an issue of explaining my stand on ethics. ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- Faculty Use Only ------------------------------------------------- <Faculty comments here> ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- <Faculty Name> <Grade Earned> <Writing Score> <Date Graded> Introduction The problem to be investigated in this paper is the relationship between capitalism and the corporation and how socialism will affect this relationship. In the ever expanding economy, the government is trying to cash in more and more by taking over the capital owned by firms. The firms have to try to survive by doing whatever it takes to keep the government from overtaking their capital. In the big picture, firms what to make a profit but also provide a benefit to the society as a whole. We have to look deeper to explain what socialism and capitalism really are and what the corporations are really trying to do. Social Responsibility of Business Friedman said that the social responsibility...
Words: 1738 - Pages: 7
...Running Head: POWER FROM PEOPLE 1 Corporate Personhood: Taking Power from the People Cindy Sanders Everest University POWER FROM PEOPLE 2 We the People-scratch that. We the People and Corporations of the United States. Probably more accurate would be, we the corporations and then the people. The way current laws are perceived; corporations hold the power in democracy, and they are put above the actual people of the United States. This is because current laws state that corporations are persons, also known as the doctrine of corporate personhood. Corporate personhood is the term, used to describe corporation’s rights and protections under the Constitution and Bill of Rights ( Encyclopedia of emancipation and abolition, 2011). Corporate personhood recognizes that by law, corporations are entity’s that have the rights to have a name, sue and be sued in court, be a party to contracts, have property ( Encyclopedia of emancipation and abolition, 2011) and participate in the political process without regulation. Thus, corporations are deemed a person under the law, just as individual people. It is common knowledge that the more wealth a person has, the more power they also hold. Corporate personhood takes power away from the people and gives it to buildings and ideas also known as corporations. While corporations bring muchneeded capitol to the United States as a whole, as well to individual states, granting them rights as individuals has rendered them untouchable. Ultimate...
Words: 2355 - Pages: 10
...Why Corporations Should Set Strict Moral Standards More often than not, there are stories about the immorality of corporations and their decisions that impact not only their employees but the people in surrounding communities and the environment. Most corporations have more than one person in charge of making moral decisions. These selected few should set strict moral and ethical standards when conducting business for the benefit of the company, their employees and the rest of the world. In philosophy, there are several subsections that teach the various kinds of moral and ethics. Some of these subsections can be applied to the morality of a corporation while others, when applied, can cause controversy and harm. The following paper will discuss why corporations should be morally just and the benefits that can be derived from this. It will also discuss three different types of philosophical morals and ethics processes that may or may not compliment the benefits. A corporation with good morals have more important priorities that one that does not. One of the most important reasons why a corporation should be moral is because of the people, i.e. the people that work for the corporation, the people that want and use their services or products and the people that built the corporation. Employees might not always see the boss or the CEO every day at work but they should know and experience that their well-being is important to the CEO. Good morals for the employees mean that they...
Words: 1230 - Pages: 5
...Shall Corporation has right and obligation as individual? YES A corporation is made up of many individuals so one should assume that corporations would have those same rights. Even though the corporations speak as a collective. They are still comprised of many employees who all have working rights so the company should retain those all rights given to their respective workers. NO Corporations are representative of many people, and as each person is an individual one company cannot support all the views of all of its employee's and beneficiaries, nor do they require the same protections form large groups or oppressive organizations or people as an individual person does. An individual needs to be protected by something when they cannot protect themselves where corporations already posses enough protections that they do not need the addition of free speech. Just because something is "made of people" doesn't mean it should get the exact same protections as people. Corporations have much greater protections through monetary means than individuals--just like governments. It is for this very reason that the constitution gave individuals these protections. Once corporations are able to feel like individuals, be exploited like individuals, and are able to suffer and feel joy like actual humans, then they can have the same rights. the people who own, run or work for corporations already have their (personal) Constitutional rights, precisely because they are people. Giving...
Words: 314 - Pages: 2
...qualities, analysis of growth and history, exploration of impacts, and brief look at the future of the modern business corporation. The documentary defines a corporation as a legal person, explaining that is has most of the legal rights a person has such as borrowing money and managing property. The film was released around the time of major corporate scandals, such as Xerox, Enron, and WorldCom, and uses the metaphor “bad apples” to state that there are more than a few corporations that are bad. The film argues that if corporations were people, they would have psychopathic personalities. It then states that corporations have become a vessel which good and bad people can cause harm to society because of the way corporations have evolved and how they are protected. The Corporation film is concerned with the role corporations have in modern society its impact, or the corporate social responsibility. The film explores how corporations have been poisoning the earth as well as consumer minds and how the government is intended to look over and control these corporations. It looks into some of the unethical business practices and strategies executed by corporations and the externalities that are created to satisfy the main goal of the corporation: to maximize profit and market share. 2. Body A major social issue that was brought up in this film is the way that corporations treat foreign factory workers. The film is concerned with the rampant use of sweatshops by large businesses. The use...
Words: 913 - Pages: 4
...Citizens Rights enhancement or abscission. A Comparative Disucssion before and after the dividation of DCC Course Title: Local government and Administrative Law Course Code: LAW- 347 Submited To: Name: Saybur Rahman Lacturer of UAP Sumited By: Name: Sharmin Akhter ID: 12111034 Department: Law & Human Rights University of Asia Pacific Date of Submission: Jan28, 2015 Sharmin Akhter Univercity of Asia Pacific 1/27/2015 UAP A Comparative Discussion before and after the dividation of DCC DCC Table of Contents Executive Summary ....................................................................................................................................... 3 1. Introduction .............................................................................................................................................. 4 1.1 Background of the study ..................................................................................................................... 4 1.2 Statement of the Problem .................................................................................................................. 5 1.3 Objective of the study ......................................................................................................................... 5 1.2.1 Main Objective ............................................................................................................................. 5 1.2.2 Specific objectives ............
Words: 7066 - Pages: 29
...elections. I would like to discuss how money and greed can affect the decision of any candidate and cause them to betray their own personal beliefs and cause the betrayal to the people that they represent. I will also look at the issue using classical ethical and contemporary ethical theories, as well as looking at the issue through the view of utilitarianism. Any corporation should not be able make any contribution towards a campaign because then their ideas could become the candidates ideas even if a candidates is strongly against a subject that the corporation supports. We are going to look at the issue from the point of view of utilitarianism. Utilitarianism is a classical form of ethics that I will use to look at this issue. First off utilitarianism is described in our text book as a natural way to see if an act is the right thing to do or the wrong thing to do is to look at the consequences or the results of that action. (Mosser 2010) Looking at corporate contributions and seeing the type of candidates that the American people are being offered I believe that the corporations should not be allowed to contribute to a campaign. I do not see a problem, however, if an individual wants to contribute to the campaign of a preferred candidate as long as they contribute under their name and not the corporation name. Greed is something that grabs ahold of a person and does not let go until they have hit rock bottom. Many companies sell certain products that contribute to a situation...
Words: 3007 - Pages: 13
...The Different forms of business organizations can be a very confusing topic for many business owners. There are many different types of organizations including, but not limited to, Sole Proprietorship; General Partnership; Limited Partnership; C-corporation; S-corporation; and Limited Liability Company. Each type of business organization has its own benefits, drawbacks, and restrictions. This report will summarize each type of business organization and explain the drawbacks and benefits in a clear, concise, and easy to understand way. Sole Proprietorship A Sole Proprietorship is exactly what it sounds like. It is a company that is owned solely by an individual. It may need to be registered with the Secretary of State within the state that the company is owned and operated. This is required if the following conditions apply: * The company is run under a fictitious name (i.e. Marriage Makers, Simply Savings, or Tasty Treats). * The business provides services or goods that require licensure (i.e. Insurances, alcohol, or food). A Sole Proprietorship is not differentiated from the owner which is why, if the above stated criterion does not apply, the business is not required to register with the Secretary of State. The money that is made from the business belongs solely to the owner. For the same reason, the debt that is accumulated by the company is the sole responsibility of the owner. This circumstance makes it possible for a debtor to sue the owner of the company...
Words: 3253 - Pages: 14
...Within any corporation, an organizational structure must be maintained to ensure that the organization maintains itself within the governing documents of the state and of the corporation itself. Some of the most important people in the organizational structure include the board of directors and the officers of the corporation. However, these management personnel must also ensure that their actions are in line with the shareholders of the corporation, which typically are set out to increase profits. These three groups of personnel within an organization are important and their individual duties must be fully understood. Additionally, the differences between publicly held corporations and close corporations are important to examine alongside these duties. The first group of personnel to examine is the directors of the corporation. Many corporations establish a board of directors who have the authority to most any action according to the organizational governing documents. According to Mallor, Barnes, Bowers, & Langvardt "the board's authority includes not only the general power to manage or direct the corporation in the ordinary course of its business but also the power to issue shares of stock and to set the price of shares" (2010, p. 1049). The Board of Directors approval must be obtained for most, if not all, major changes to the organization to include any amendments to the articles of incorporation, mergers of the corporation, or dissolution of the corporation. In comparison...
Words: 832 - Pages: 4
...directly onto your personal income tax return (no double taxation). Potential employees may be attracted to the business if given the incentive to become a partner. The business usually will benefit from partners who have complementary skills. Disadvantages of a Partnership General partners have unlimited liability. Partners are jointly and individually liable for the actions of the other partners. Profits must be shared with others. Since decisions are shared, disagreements can occur. Some employee benefits are not deductible from business income on tax returns. The partnership may end upon the withdrawal or death of a partner. Corporations A corporation is different from a sole proprietorship or a partnership in that a corporation is separate statutorily created legal entity from the people who manage, own, control, and operate it. A corporation can be taxed; it can be sued; it can enter into contractual...
Words: 1720 - Pages: 7
...BUSN 110 The Corporation: Video Case Study 1. What role should the corporation play in our lives and society, if any? a. Corporations should provide quality products or services to individuals. b. Corporations should also have a social responsibility to the surrounding community and in the outsourcing countries they utilize to make their products or services. 2. Should corporations be entitled to the same legal rights as individuals? Where should the line be drawn? c. Corporations should not be entitled to the same legal rights. They people behind the firm should be held equally responsible if employees know they are doing wrong, The CEO or presidents of the corporations are making the decisions and if in a law suit, the company should hold all parties responsible to an extent if employees are willingly doing wrong. The line should be drawn when a product or service is creating waste that is harming others and causing illness. The corporation could be sued due to an accident. 3. How can we ensure corporations are held accountable for their actions? Should individuals (directors, employees, shareholders) bear any responsibility for the actions of a corporation? If so, to what degree? a. Suing helps but not always stops the problem; they pay the fee and move on. If the individuals kno0w they are doing wrong, they should be held accountable. Jail time should be a degree or a heavy fine. 4. What are the benefits of...
Words: 852 - Pages: 4
...7 Corporations in the Modern Era The Commercial Transformation of Material Life and Culture I hope we shall . . . crush in [its] birth the aristocracy of our monied corporations which dare already to challenge our government to a trial of strength and bid defiance to the laws of our country. —Thomas Jefferson (letter to Tom Logan, 1816) J 1 ustice John Paul Stevens of the U.S. Supreme Court cited the third president of the United States in his strong dissent to the majority’s 2010 decision allowing corporations unlimited spending on behalf of political candidates.1 Quoting the court’s earlier McConnell decision, Stevens wrote, “We have repeatedly sustained legislation aimed at ‘the corrosive and distorting effects of immense aggregations of wealth that are accumulated with Jefferson’s animus may seem curious in light of the history of British corporations that financed the settling of the first North American colonies and, as discussed in this chapter, are often credited with providing the model for representative government adopted by the framers of the U.S. Constitution (Tuitt 2006). 280 Corporations in the Modern Era——281 the help of the corporate form.’” The court’s decision, Justice Stevens continued, “will undoubtedly cripple the ability of ordinary citizens, Congress and the States to adopt even limited measures to protect against corporate domination of the electoral process.” The essence of Justice Steven’s dissent in the Citizens United v. Federal...
Words: 22537 - Pages: 91
