Corporate purpose with a look on COVID-19 pandemic

Abstract

What is the purpose of companies? Is that purpose unique for all companies? Is a company allowed to formulate its own purpose and to make decisions in accordance with that purpose? Is this the area where the lawmaker should intervene, to what extent and in which manner? What role should or could a company have in determining its own purpose? These are some of the questions to which the author is trying to find the answers, taking into consideration a number of theoretical discussions, as well as comparative and domestic legislative movements. Dilemma between the shareholder theory and the stakeholders' theory represents one of the most controversial topics in modern company law. The COVID pandemic has additionally emphasized the basic problems of these theories. Bearing in mind that definite solutions in this area cannot be given, the author analyses relevant Serbian statutory provisions, in order to make certain suggestions for their adequate interpretation.