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Reasons for disagreement 

Amidst the 21st century chaos has been rampant. What would have been considered a canon event 3 decades ago is daily routine in this deeply mayhem embedded world. A huge problem that has arisen in the 21st century is an increased number of startups. Now one would argue how an increase in progressive businesses lead to constant disruptions in society. The answer is quite simple, conflict between stockholders and corporations. Every startup needs people ready to invest money in their ideas. In exchange for the capital investors give to startup founders they receive a percentage of the company. As time passes by and a small startup with a measly 25 employees blooms into a humongous conglomerate, ideas between stockholders and startup founders start to differ. Soon enough the disagreements start increasing and after a certain point the company falls apart. 

The core of disagreement stems from a difference in ideologies. Shareholders often demand short and swift returns. Stakeholders on the other hand  advocate for long term development and are more oriented towards long term returns. For example in 2023, Amazon workers unionized and appealed for safer working conditions and higher wages. However, Amazon investors were quite upset over the rising operational costs. Under the leadership of the great Henry Ford, Ford Motors turned a very profitable year. An increase in revenue led Henry Ford to increase the wage of his workers but he was sued by his stockholders for not giving out dividends from the increased revenue. Henry Ford ended up losing in court.

A higher power than the founders of a company

To this day shareholders are given the higher authority over the founders and CEOs of the companies. In 2006 the UK’s companies act was released and it stated that companies will report a higher number of profits if they make decisions that align with their shareholders interests. The problem with this policy is that it is too bleak and it does not take into account the vast majority of issues that companies may face such as natural disasters. This policy does not mandate between corporate structure and stakeholder priorities.

How can this be resolved

The first thing needed is government intervention. Governments must redo the government framework to mandate equal consideration to all stockholders . This includes abolishing the abuse of workers and representatives of the community in major corporate decisions.

The second thing that the government needs to do is to remodel company boards. A lopsided power needs to be eliminated and every one’s opinions should be taken into consideration regarding the future of a company.

The 3rd thing that needs to be done is aligning the pay of executives to how well a stock has done and it should remain like this until a company compensates its shareholders and workers.

Conclusion:The mending of this severely damaged and complicated issue will need ample time and this all needs to be dealt with sensitivity and proper management.