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It becomes important for students to get acquainted with the concept of agency theory. 24x7assignmenthelp.com is a reputed company that has been serving customers for more than a decade. Agency theory assignment help provided by well-experienced and knowledgeable writers that ensure accuracy in content.
What is meant by agency theory?
The agency theory is said to be a supposition that helps to know about relationship between agents in business and principals. Agency theory deals with resolving different problems that comes in existence in agency relationship because of unaligned goals that would also include different levels of risk.
While talking about common agency relationship you may find it between shareholders who act as a principal and company executives who is agent of company.
Primary agency relationship
Through agency theory it is possible for a firm to view as nexus of contracts that occurs between different resources holders. Our agency theory homework help would make you knowledgeable about relationship that may happen in case one or more individuals who are the principals may hire more than one agent so that certain services can be performed.
The primary agency relationship that happens in business:
- Occurs in between managers and stockholders
- Between stockholders and debt holders
Accordingly, agency theory is said to be a dominant models when it comes to financial economics. Agency theory is related to so-called agency conflicts that occur between principal and agents.
Getting professional help for topic
Our agency theory assignment help will give you complete explanation on topic and we adopt best possible way. It is a theory that would discuss about organizing work which is a part of deciding the work and the other group who will be responsible for executing it. It is a relationship where one would decide the work who acts as a principal and the other is agent who would perform work.
But, it is important to know about the problems that may be encountered while practicing this theory:
- When you will find a difference in goals of agent and principal. The problem turns out to be highly complicated in case principal cannot detect exact problem.
- The other problem would come in case the principal and agent develop distinct view about risk.
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