LEGAL CONCEPT OF AGENCY Part A INTRODUCTION The legal concept of agency plays an essential role under commercial transactions. This essay will first explain the definition of agency and methods of creating agency relationship‚ then the benefits and drawbacks of agency will be illustrated. Finally‚ there are two examples presenting formal and informal agency relationship. THE LEGAL CONCEPT OF AGENCY An agency refers to a legal relationship between agent and principal. A broad concept of agency
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THE EFFECT OF CONFLICT OF INTEREST ON EXECTIVE MANAGEMENT Conflict of interest is a set of circumstances that creates a risk that professional judgment or actions regarding a primary interest will be unduly influence by a secondary interest. Primary interest refers to the principal goals of the profession or activity‚ such as the protection of clients‚ the health of patients‚ the integrity of research‚ and the duties of public office. On the other hand secondary interest motives as the desire
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Introduction of Agency Theory The specific definition of the theory based on the sources investorword.com and investopedia.com defined that the agency theory is a theory explaining the relationship between principals such as shareholders and agents. It is essentially involves the cost and way of resolving the conflicts between the principals and agents and change the something slightly to the correct position and decision related to the two group of conflict. Thus‚ the main objective of agency theory is to
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Definition of ’Agency Theory’ A supposition that explains the relationship between principals and agents in business. Agency theory is concerned with resolving problems that can exist in agency relationships; that is‚ between principals (such as shareholders) and agents of the principals (for example‚ company executives). The two problems that agency theory addresses are: 1.) the problems that arise when the desires or goals of the principal and agent are in conflict‚ and the principal is unable
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What is the agency theory? Agency Theory is defined the branch of financial economics that looks at conflicts of interest between people with different interests in the same assets. This most importantly means the conflicts between: * shareholders and managers of companies. * shareholders and bond holders. The fact: Agency theory is rarely‚ if ever‚ of direct relevance to portfolio investment decisions. It is used to by financial economists to model very important aspects of how capital
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© Myles Cook‚ 2006 Milgram’s Agency Theory of Obedience One of the areas that have fascinated psychologists is that of obedience – why does someone obey another? In the period following World War 2‚ the subject became a popular one for researchers fascinated by the amount of obedience shown by the German soldiers in Nazi Germany when faced with orders that resulted in the torture and deaths of millions of Jews. Stanley Milgram‚ a Jew himself‚ decided that the only way to prevent any further
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Agency theory Kenya has 62 micro-finance NGO’s. They have demonstrated that micro-business lending in Kenya is feasible‚ and that small borrowers do pay. They have pioneered new product types and innovations and some are moving toward sustainability. The microfinance NGO’s have played an important part in moving government toward recognition of the small borrower and have been instrumental in advancing the cause of the proposed Micro-Finance Bill. Small borrowers and the informal sector form a
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Agency Theory: An Assessment and Review Author(s): Kathleen M. Eisenhardt Source: The Academy of Management Review‚ Vol. 14‚ No. 1 (Jan.‚ 1989)‚ pp. 57-74 Published by: Academy of Management Stable URL: http://www.jstor.org/stable/258191 Accessed: 14/10/2010 10:43 Your use of the JSTOR archive indicates your acceptance of JSTOR’s Terms and Conditions of Use‚ available at http://www.jstor.org/page/info/about/policies/terms.jsp. JSTOR’s Terms and Conditions of Use provides‚ in part‚ that unless you
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The Importance of Theory Benner’s theory of Novice to Expert has been adopted by the operating room where I practice. This theory was chosen because the operating room has unique educational requirements and novice versus expert hierarchy issues that are not usually found in general nursing units. The intent of this paper is to give a brief history of the evolution of nursing and how the practice of nursing has evolved into a theory based profession. The next section‚ Benner’s theory‚ Novice to
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Importance of Theory Tricia Creviston RN-BSN NR- 501 January 18‚ 2015 Dr. Carin Tripodina Legacy‚ what is Legacy? As a nurse there is history and meaning behind everything that we do and stand for‚ this is based on our nursing legacy. Merriam-Webster dictionary defines legacy as: “something transmitted by or received from an ancestor or predecessor or from the past” (Merriam-Webster‚ 2015). The theoretical basis for our nursing interventions and knowledge is wrapped up in the legacy
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