When stakeholder protection is left to the voluntary initiative of managers, relations with social activists may become an effective entrenchment strategy for inefficient CEOs. We thus argue that managerial turnover and firm value are increased...Read more
Prof. Renee Adams (UNSW Business School, University of New South Wales) presents her paper on "Board Members Values and the Shareholder - Stakeholder Dilemma" at the 2016 ECGI Asia Corporate Governance Dialogue in Tokyo.
We present first evidence about individual and institutional factors that guide board members of public companies around the world in addressing the fundamental strategic problem of dealing with shareholders and stakeholders. In a sample comprising nearly nine hundred board members from some fifty countries of origin, we confirm that these corporate leaders hold a principled, quasi-ideological stance towards shareholders and stakeholders, dubbed shareholderism.