Why Do Corporations Exist?

Corporations are the engine of the modern economy, yet public debates are ideologically polarized between two extremes—shareholder value theory and stakeholder theory—and the real workings of corporations and their contributions to society are obscured. This book attempts to break the shackles of these two ideologies.

It starts from the ‘Two Corporate Axioms’ that any reasonably well-informed person should accept, i.e., the dominance of corporations and the existence of market competi…