End of Stakeholder Capitalism Marks Return to Traditional Business Focus

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BUSINESS News

STAKEHOLDER CAPITALISM,SHAREHOLDER VALUE,DONALD TRUMP

Donald Trump's reelection has led to a resurgence of traditional business practices, allowing corporations to focus on increasing shareholder value without the pressure of progressive causes.

Stephen King once said that 'sooner or later, everything old is new again.' This sentiment rings true as the U.S. stock markets and investor confidence have surged since Donald Trump’s reelection. Companies are now free from the progressive pressure of the past decade, allowing them to focus on increasing shareholder value. The shift marks the end of stakeholder capitalism, a concept championed by Klaus Schwab and the World Economic Forum.

Stakeholder capitalism emphasizes maximizing value for all stakeholders, not just shareholders. However, American capitalism, which prioritizes shareholder interests, has historically produced better stock market returns and broader societal benefits compared to European stakeholder capitalism

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