While managers share the goals of share holders to a certain extent, a number of alternative goals exist for managers that may conflict with the goals of share holders. Managers' alternative goals can include: Maximizing their effort Taking projects with a high risk of failure when the potential rewards are high Avoiding failure Maximizing their job security Maximizing their pay and compensation package Enhancing their reputation and employment opportunities for themselves Consuming perks

While managers share the goals of share holders to a certain extent, a number of alternative goals exist for managers that may conflict with the goals of share holders. Managers' alternative goals can include: Maximizing their effort Taking projects with a high risk of failure when the potential rewards are high Avoiding failure Maximizing their job security Maximizing their pay and compensation package Enhancing their reputation and employment opportunities for themselves Consuming perks

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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