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Discuss the management objectives of a firm governed by the shareholder wealth maximization. For example, in...

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General Management

Discuss the management objectives of a firm governed by theshareholder wealth maximization. For example, in the United States,the decision to shift production from a local factory to a foreignone may be based on the change of the NPV value as a result of suchmove. The owners may have only minor consideration concerning theimpact that such change would have on the community and/or localemployees. Explain your point of view carefully.

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Management objetive of the firm is maximum value creation but it is genrally confused with wealth maximization This is particularly becuse n major casates value creation is wealth creation But Value can be wealth or any equivalent that    See Answer
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