Shareholders do not own the corporation,’ wrote professors Loizos and Luh Luh Can in Harvard Business Review, no less, last year. Directors owe their duty to the company itself, including all its members. Unbeholden to shareholders, they ‘are to a great extent autonomous.’
‘The corporate interest’ is thus not actually what most corporations, their managers and shareholders think it is. If corporations are persons, and not the property of shareholders (a concept that is anyway incompatible with limited liabibility), the way is cleared for the common-sense but ideologically-obscured view that companies can only thrive in symbiosis with a flourishing broader society in which they are embedded. They have a duty to all their stakeholders.
interesting post from Simon Caulkin, who suggests most corporations would be diagnosed as psychopaths. What’s your company like?