Answer the following statements true (T) or false (F)
1. Businesses that adopt the shareholder model must, by definition, pursue short-run profits.
2. A stakeholder perspective argues that while shareholders have important rights, there are other constituents toward whom a company should demonstrate responsibility and concern.
3. Executive stock option plans encourage businesses to take a more long run approach to profit maximization.
4. Financialization is a term used to describe the shareholder models' emphasis on short term profits rather than, say, the delivery of valued or needed goods and services.
5. Financialization is a business strategy that focuses on implement cost-cutting measures followed by leveraged buyouts.
1. FALSE
2. TRUE
3. FALSE
4. TRUE
5. TRUE
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