Chapter 3 - Whose Company Is It?

Question 1

What is a shareholder revolt?

Answer 1

A shareholder revolt is when shareholders disagree and outvote a decision made by the directors.

Question 2

What is the difference between executive and non-executive directors?

Answer 2

Executive directors are directors who work full-time and are responsibilities for the daily operations. CEO, CFO or COO. Whilst a non-executive director are part-time and do not more than attend monthly board meetings. For example, a chairman.

Question 3

What percentage of shares does the directors of a company usually have?

Answer 3

Less than 1%