Question

Analyze the chart, which depicts a typical corporate structure.

A chart shows sample corporate structure. The shareholders are at the top, then the board of directors, and then the president or C E O. Below the President and C E O are 3 positions at the same level: the V P of sales, the V P of marketing, and the V P of production.


Based on the chart, the primary responsibility of shareholders is to


run the business by electing a board of directors, who then hire the company’s leaders.

run the business by electing a board of directors and hiring a president and other leaders.

make business decisions on the advice of a board of directors, a president, and other leaders.

make business decisions on the advice of a board of directors, who follow the expertise of leaders.

Answer 1

run the business by electing a board of directors, who then hire the company’s leaders.

Step-by-step explanation:

The shareholders Vote to conform the Board. Usually the shareholders with the highest share vote for themselves so the shareholders end up being the Board. The Chairman or CEO is appointed by the Board.