We use cookies to distinguish you from other users and to provide you with a better experience on our websites. Close this message to accept cookies or find out how to manage your cookie settings.
We use cookies to distinguish you from other users and to provide you with a better experience on our websites. Close this message to accept cookies or find out how to manage your cookie settings.
Published online by Cambridge University Press: 16 November 2022
In Chapter 8, the spotlight is shareholder and stakeholder engagement. Boards that govern for the long term should actively engage shareholders – or oversee the interaction with them – learn from their suggestions and assure that the company has an adequate shareholder structure to carry out its activities and purpose. Boards should also understand how key stakeholders interact and create joint-value with the company, and how it can learn from them. Among the board’s responsibilities is to ensure the company has the right type of shareholders to pursue its purpose. A major assumption in many corporate governance studies is that shareholders are homogeneous and have the same preferences. The evidence indicates the contrary: Shareholders are heterogeneous. There is a wide variety of shareholders: family offices, pension funds, passive investors, private equity firm, hedge funds or governments, among others. Each shareholder is unique, with distinct time horizons and motivations. The board of directors needs to consider this diversity.
To save this book to your Kindle, first ensure no-reply@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.
Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.
Find out more about the Kindle Personal Document Service.
To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.
To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.
