SC is a professional football club which is currently listed on a recognised stock exchange. There is a proposal that it builds a new stadium at a location a considerable distance from its current stadium.
There is strong support within the club for the move as the current ground is now over 40 years old and has not been extensively modernised in that time.
However, there is a lot of opposition to the move in the area where it is proposed to locate the new stadium. Objectors claim that the new stadium will increase traffic and pollution in the area and will adversely affect the value of their properties.
Which of the following statements about the responsibility of the board of SC is correct?
A . SC is now a listed company and so the board should prioritise the interests of shareholders to the exclusion of other stakeholders.
B . A football club needs to be part of the community in which it exists and so the board should consider the other stakeholders.
C . The board should conclude that objectors to the new stadium have a legal course of action open to them and if they do not take legal action they should ignore them.
D . If the board of directors is seen as acknowledging its responsibility to stakeholders other than shareholders this will enhance the reputation of the club and it will be more likely that a compromise can be reached with objectors.
E . The board should share information about the new development with the local community only to the extent that it is legally obliged to do so.
Answer: B,D