Executives are often compensated above and beyond their salary and benefits. Which of the following perquisites would not encourage managers to maximize long$-$run shareholder wealth?

The use of a private jet

Stock options

A percentage of the company's profits

Vision Tech is a software company based out of San Francisco. Its stockholders are mostly institutional investors and there is relatively little individual ownership. If these institutions dilute their positions and sell off their stake in Vision Tech's stock to several individual investors, would direct shareholder intervention be more or less likely to motivate the firm's management?

More likely

Less likely

Vision Tech's stock price is currently trading at $$17$ per share. The consensus among analysts is that the intrinsic value of Vision Tech's stock is $$27$ per share. Is Vision Tech more or less likely to receive a hostile takeover bid?

More likely