Shareholders really do call the shots - capitalism in action!
Putative boss of the new ITV merged company (between Carlton and Granada), Michael Green of Carlton, is to stand down as chairman designate.
This follows several days of stand-off between the Board of Carlton, which initially wanted Green to have the top job at the new merged firm, and major institutional shareholders who were determined to choose their own person.
I have no particular feelings one way or the other about Mr Green; I know too little about the broadcasting industry to comment intelligently. What is clear, however, is that the owners of a company have the right, ultimately, to choose whom they wish to manage a company on their behalf. A Board of Directors can certainly voice its opinion, but it must bow to the wishes of the owners if there is a forcefully expressed disagreement by the latter. This is the very essence of the capitalist system - and it is good occasionally to see it in action so vividly.
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