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Concept of the Corporation was the first study ever of the constitution, structure, and internal dynamics of a major business enterprise. Basing his work on a two-year analysis of the company done during the closing years of World War II, Drucker looks at the General Motors managerial organization from within. He tries to understand what makes the company work so effectively, what its core. An out-of-state corporation/LLC doing business in California will have to pay franchise taxes to California. The corporation may also have to pay franchise taxes in its state of incorporation (even if the corporation is not conducting business in that state). Thus, the corporation is potentially exposed to taxing by more than one state. Corporation within the evolving global social and economic system. This chapter introduces the stakeholder model of the firm, already established in the literature, and in chapter 2 it is extended to develop the stakeholder view of the corporation as a distinctive perspective on strategic management.

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