Shareholder value approach

Shareholder value approach,

Definition of Shareholder value approach:

  1. Management philosophy that regards maximization of shareholders equity as its highest objective. It attempts to increase this value by following policies that (1) enhance the firms earnings, (2) increase the market value of its shares, and (3) increase the amount or frequency of the dividend paid. Compare with stakeholder value approach.

Meaning of Shareholder value approach & Shareholder value approach Definition