1. In the discussion of corporate governance relative to the composition of the Board of Directors for publicly traded companies, which concept argues for more outsiders on the Board, and which concept argues for more insiders on the Board? Which one do you prefer and why? 2. Having one corporate officer become the Chairman and CEO of a firm represents poor corporate governance. What is the suggested approach in chapter 2, to create a check and balance on the CEO who is also the Chairman of the Board? 3. State and describe the concept that the management of a firm might use to determine the individuals and organizations that should be given priority with regards to their interests in the affairs of the firm.
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