请问B选项是什么意思

问题如下：

Which of the following scenarios can best be described as offering superior protection of shareholder interests?

选项：

A.When common law is practiced B.When CEO duality is common C.When stakeholder theory prevails

解释：

Solution

A is correct. Unlike civil law systems, common law systems provide judges with the ability to create law by setting precedents that are followed in subsequent cases. Shareholders are viewed as better protected under common law because judges may rule against management actions in situations that are not specifically addressed by statutes.

B is incorrect. Under CEO duality, the CEO also serves as chairperson of the board. All else equal, this decreases the protection of shareholder interests in favor of those of management.

C is incorrect. Stakeholder theory incorporates the interests of non-shareholders such as customers, suppliers, and employees. This inevitably dilutes the focus on shareholders.