Brain drain or shareholder gain?

Running Head : CORPORATE CEOs AND SHAREHOLDERS

The Nature of CEOs in Relation to Corporate Board Members

Srikumar K . Varma

Academic Writer

Abstract

The purpose of this is to answer two sets of questions . The first deals with whether this writer is in favor of an active CEO sitting on corporate board of directors of two corporations at the same time or whether there should be Government control against such practices . The response by this writer is that the CEO has only one company 's duty to follow and that there

must be some form of Government control with regard to the practice of keeping two similar posts by CEOs . The second set of question asks this writer as to what would be the personal view if as a majority shareholder of a company this writer was asked to make appointments to the board of directors . The personal view is that all members should be justly qualified and even more able and qualified than the shareholders

Although from the given arguments it is seen that CEOs are a professional and proactive lot and can take the company through the path of growth and advancement in all its spheres of activities , nevertheless they shouldn 't be allowed to sit on board of another or more companies . The prime reason for this is that it would greatly affect their own performance as well as the company 's own achievement of targets . Undoubtedly , the CEOs are experienced , qualified and knows the nitty-gritty of...