The stockholders elect a board of directors to act on their behalf.The board hires managers to run the corporation on a daily basis. The stockholders become partial owners of the corporation.The corporation uses the money received from selling the stock to set up and run the business.
foundation
In an indirect democracy, people elect representatives to act on their behalf.
Board of
board of director's
The board of directors
Indirect representation refers to a situation where individuals elect representatives to make decisions on their behalf. In this system, citizens do not directly participate in decision-making but instead delegate their authority to elected officials who act on their behalf. Indirect representation is a common feature of representative democracies.
A republic
Representative democracy is another name for indirect democracy, where citizens elect representatives to make decisions and policies on their behalf.
Common stockholders are most concerned with increasing the value of the stock they own. They elect the company's Board of Directors, which is supposed to guide the company in such a way that the value of their shares increases over time.
Indirect democracy means citizens elect representatives to make laws on their behalf.
A property manager can act on behalf of a landlord in managing rental properties.
When the principal is unable or unwilling to act on their own behalf and another entity must act on their behalf in some legal matter.