Why does it make sense for corporations to maximize their market value?

Why does it make sense for corporations to maximize their market value?



Answer: Value maximization is the natural financial goal of the firm. Maximizing value maximizes the wealth of the firm's owners, its shareholders. Shareholders can invest or consume that wealth as they wish.

Comments

Popular posts from this blog

Examine the collapse of Han. What factors explain how this occurred? How influential in Han Dynasty on Chinese History?

JAD Advantages and Disadvantages

Summarize effective communication strategies in organizational hierarchies, and review the role and relevance of the organizational grapevine