Entity’s structure and strategy is one of the crucial elements in determining the success of entity. Consequently, companies frame corporate strategy with the ideal of maximizing returns on shareholders’ investment. One of the vital elements of strategic decision- making is invention, as it helps in creating competitive advantage which accelerate growth and strengthen company’s long term performance. Since associations are sociological realities, they're anticipated to operate responsibly in social environment as well. still, over ‐ emphasis on the ideal of profit maximization and maximizing request prices of shares led operation to indulge in unethical practices. Spectacular corporate failures around the world stressed the short term exposure of operation in companies. The chain of corporate dishonors not only harms the shareholders but wiped out billions of bones of public money, laying off hundreds of thousands of workers and hurting thousands of families. Sum attributed to innovative conditioning in a company depends on operation’s discretion. Innovation, hence, becomes a subject of strategic choice of the operation. Adverse effect of these massive breakdowns on the whole economy challenged the conventional proposition of maximizing shareholders’ returns. Sir Adrian Cadbury in' Global Corporate Governance Forum', World Bank(2000) asserted on “company’s end to align as nearly as possible the interests of individualities, corporations and society". Companies should, thus, aim to address prospects of multiple stakeholders, and not simply its shareholders. This would, clearly, give result to misconduct, corruption and reckless behaviour of entity’s which would be an effective means to forestall corporate dishonors in the business world. The relinquishment of good corporate governance becomes necessary to encourage the complete deployment of resources towards invention investments. It facilitates company in generating returns from R&D investments and in maximizing stakeholders’ interests as well. In this study, an attempt has thus been made in Indian environment, to examine the part of board in enhancing shareholders’ return through R&D investment opinions and to meet stakeholders’ prospects.

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Keywords: Management, Shareholder, Corporate, Maximization, Public, Stakeholders, Employees.