ABSTRACT
An article by Blanaid Clarke, commenting that the separation of ownership and control has left shareholders with a ‘mere symbol of ownership’, provides an example of this focus on management rather than shareholders. The long-standing opinion of a number of commentators, has been that the separation of ownership and control is justifiable on the basis that it is favourable to shareholders and thus in their best interests. In reflecting on the utility of the Berle-Means hypothesis, Professor Cheffins provides some support for this view in favour of the separation of ownership and control. Dispersion in the ownership of separate enterprises appears to be inherent in the corporate system. Under both systems there is more concentrated ownership, but in neither system has this seen individual shareholders generally enjoying direct participation and a sense of control over the affairs of the company in which they are investing.
