Shareholders are involved in the day-to-day operations of a corporation which they own.

Question

Quizplus · Accepted Answer

Shareholders have ownership in a corporation but they are not involved in the day-to-day operations of the company. They elect a board of directors who make decisions on their behalf and hire executives to run the company. Shareholders typically have the right to vote on major issues such as mergers or acquisitions, but they do not manage the company directly.

Shareholders Are Involved in the Day-To-Day Operations of a Corporation