WK7 D2 - Corporate Governance and Ethics: A series ofdecisions
Research the famous business case Dodge vs. Ford MotorCompany, in 1919.
This story invites students to think about how a corporationdistributes its profits.
Answer the following regarding the story.
Should all returns flow to shareholders, or can managers chooseto return profits to stakeholders in terms of lower prices orhigher wages?
Should the Corporation be run to maximize the immediatelyapparent (as opposed to merely short run) benefit ofshareholders?
