Management and Organizational Studies 2275A/B Chapter Notes - Chapter 15: Legal Personality, Sole Proprietorship, Transact

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2275A/B
• Professor: Philip King

Document Summary

The corporations is the predominant vehicle in modern commerce because it is a separate legal entity. It means that the corporations alone is responsible for its own debts and other liabilities which shareholders are not responsible for the default. = the cornerstone of corporation law = limited liability is secure. Stakeholder : one who has an interest in a corporation. Internal stakeholder = who have a direct or indirect role in governing the corporation and determining its mission and how it will be achieved. Officers : high-level management employees appointed by the directors of a corporation to manage the day-to-day operation of the corporation (president, secretary and treasurer) External stakeholder = people who have dealings with or are affected by the corporation but don"t have an explicit role in governing the corporation (government, general public, employees, customers and creditors) What type of shares will be available and to whom.