German and Japanese Stakeholder Capitalism

People in Germany and Japan…do not have quite the same views about money and motives as Gordon Brown and Bill Clinton have. They tend to believe that, although money is a splendid thing to have, and few people would not put themselves out to get some, if you want to know why people work hard, … Continue reading

Warren Buffett — Letters to Shareholders

From the 2011 letter: Positive updates: The primary job of a Board of Directors is to see that the right people are running the business and to be sure that the next generation of leaders is identified and ready to take over tomorrow. We view [our] holdings as partnership interests in wonderful businesses, not as … Continue reading

Johnson & Johnson Credo

written by Robert Wood Johnson in 1943. While they may not always follow this credo, it’s a short piece with a lot of punch. We believe our first responsibility is to the doctors, nurses, and patients, to mothers and fathers and all others who use our products and services. In meeting their needs everything we … Continue reading

Share Buyback

Share buyback is when a company repurchases its own stock from shareholders. Corporate stock redemptions are considered by company owners principally for the following reasons: Peace – to silence a troublesome minority stockholder. Obligation – for example, one of your executives is leaving the company and he or she has the legal right to require … Continue reading

Types of Stock

There are two kinds of stock: common stock and preferred stock. In general, owners of common stock have voting rights in a corporation as well as rights to receive distributions of money from the corporation (dividends). In a successful corporation, common stock ownership can be very lucrative. However, if a corporation is unsuccessful, common stock … Continue reading

The Rights of Shareholders

The rights of shareholders usually depend on what’s in a corporation’s by-laws. There are also various state statutes mandating certain default rights. Typically, the rights of shareholders will include: Voting rights on issues that affect the corporation as a whole Rights related to the assets of the corporation Rights related to the transfer of stock … Continue reading

Notes from “The Company: A Short History of a Revolutionary Idea”

The Company: A Short History of a Revolutionary Idea by John Micklethwait & Adrian Wooldridge Some notes I took while reading this highly informative book.  Presented in roughly chronological order (book chronology) though I make no promises… —=+=— Gilbert & Sullivan operetta, UTOPIA LIMITED satirizes the limited liability corporation, and Joint Stock Act http://en.wikipedia.org/wiki/Utopia,_Limited “This … Continue reading

William Cohan talk, “Money & Power”

Why does Wall St. keep doing this to us? this is NOT a “once in a hundred years” thing, as they like to say it is par for the course, BUSINESS AS USUAL Goldman-Sachs has been around for a LONG time, 120+ years in that time has been involved in MANY law suits, indictments, ponzi … Continue reading