Essay CML 5601F: Discuss the Rationale for, And Nature of, Shareholder Power – Management Assignment Help

Assignment Task:

Task:

Question:
The shareholders are a critical stakeholder group and pivotal role players within the structure of a company. Their actions can materially affect the way in which a company functions and is managed and controlled. The Companies Act and King IV recognise the vested interests of shareholders and provide for various ways in which shareholders can exert their power.

Against this background explain and critically discuss the rationale for, and nature of, shareholder power, the position of shareholders vis-à-vis the board of directors and other stakeholders, and how this finds application in ANY TWO OF THE FOLLOWING:

1) Derivative Actions (s165);
2) Delinquency Applications (s162);
3) Board Accountability in King IV; or
4) Shareholder Activism.

You do not need to repeat all the content of the specific provisions of the relevant sections in the Act. A reference to the section(s) and a brief explanation will suffice. Refer to any relevant case law and/ or examples reported in the news media to support and illustrate your observations in your answer.