Collective Action and Governance Activism*

2019 ◽  
Vol 23 (5) ◽  
pp. 893-933 ◽  
Author(s):  
Craig Doidge ◽  
Alexander Dyck ◽  
Hamed Mahmudi ◽  
Aazam Virani
Keyword(s):  
Collective Action ◽  
Event Study ◽  
Institutional Investors ◽  
Positive Impact ◽  
Majority Voting ◽  
Direct Access ◽  
Independent Directors ◽  
Incentive Pay ◽  
Voting Power ◽  
New Form

Abstract We examine how an investor collective action organization (ICAO) enhances activism by institutional investors. The ICAO initiated a new form of engagement—private meetings with independent directors to discuss governance proposals. Compared with a single investor acting alone, the ICAO has stronger incentives to engage in activism. Its dollar holdings and voting power are six times larger and predict direct access to the board and the firms it engages. Firms engaged by the ICAO are at least 58% more likely than non-engaged firms to adopt the ICAO’s governance proposals that include adoption of majority voting, say-on-pay, and specific compensation policies. Engaged firms also increase CEO incentive pay. An event study around the announcement of the ICAO’s formation shows a positive impact on value that increases in both dollar holdings and voting power. We conclude that institutional investors improve governance outcomes through collective action.

scholarly journals The determinants of the presence of independent directors in French board companies

2010 ◽  
Vol 7 (3) ◽  
pp. 343-352
Author(s):  
Ibtissem Chouchene
Keyword(s):  
Agency Theory ◽  
Institutional Investors ◽  
Boards Of Directors ◽  
Ownership Concentration ◽  
Independent Directors ◽  
Factors Influencing

The purpose of this paper is to study the determinants of the presence of independent directors on boards of directors. Based on the agency theory, we study the different factors influencing the nomination of independent directors. The tests were applied to a sample of 79 companies belonging to the SBF120 index from 1999 to 2001. The results suggest that ownership concentration, the size of the company and institutional investors activism explain the presence of independent directors inside French board companies.

scholarly journals Pengaruh Dimensi Pengungkapan Corporate Social Responsibility Terhadap Future Institutional Ownership

2016 ◽  
Vol 17 (1) ◽  
pp. 91
Author(s):  
Rizky Eriandani
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Institutional Investors ◽  
Positive Impact ◽  
Investment Decisions ◽  
Measurement Instrument ◽  
Institutional Ownership ◽  
Manufacturing Companies ◽  
Csr Disclosure ◽  
Corporate Social

<em>Corporate social responsibility practice becomes important subject in company`s activity, because it will affect the company's reputation. Besides, institutional investors likely prefer to invest in companies that have a social responsibility as it is considered to increase the legitimacy and future performance. This study aims to investigate the effect of CSR disclosure on institutional ownership. We use percentages ownership to measure institutional ownership. CSR measurement instrument used in this study adopted a previous research. The instrument comes from research Hackston and Milne, which was adjusted with Bapepam regulation in Indonesia. We also divided CSR disclosures in four sub-dimensions. The samples used in this research were 115 listed agriculture, mining, and manufacturing companies in indonesian Stock Exchange which studied during the years of 2010. Using SPSS 20, The analysis methods of this research used multiple regression analysis. Studies shows that not all dimensions of CSR disclosure effect on institutional ownership. Only product dimensions of CSR disclosures has a significant positive impact on institutional ownership. However, this paper fail to find any significant impact of another CSR dimensions. Thus, our study suggests that the dimensions of the product can affect investment decisions. In contrast, institutional investors have not focused on environment, employee relation, and community activities in investment decisions.</em>

I movimenti rurali: biopolitica e ingovernabilitŕ

2009 ◽  
pp. 100-114
Author(s):  
Annamaria Vitale
Keyword(s):  
Community Development ◽  
Collective Action ◽  
Rural Development ◽  
Key Words ◽  
Social Effects ◽  
Social Regulation ◽  
European Literature ◽  
Theoretical Perspectives ◽  
The Social ◽  
New Form

- The aim of this papers is to analyze and verify the social effects of the collective practices addressed as rural movements in the European literature about rural development of last decades. The reference is to those practices developing new ways of farming and models of rural development. The evidence of these processes overcomes the theoretical perspectives of the last century about the unavoidable disappearance of peasant world. However, the point is to interpret these new practices considering also the constitution of the processes of governance as the new form of social regulation in the post-fordist restructuring phase. Insofar, this work aims to demonstrate the irreducibility of these new rural practices to the mechanisms of governance.Key words: rural movements; community development; governance; biopolitics; post-fordist restructuring; collective action.

What Is Shareholder-Driven Corporate Governance?

2019 ◽  
pp. 1-12
Author(s):  
Anita Indira Anand
Keyword(s):  
Corporate Governance ◽  
Majority Voting ◽  
Voting Power ◽  
Distinctive Features ◽  
Managerial Entrenchment ◽  
Public Corporations ◽  
The Impact ◽  
Governance Reforms

This introductory chapter provides an overview of shareholder-driven corporate governance (SCG). SCG is a broad-based analytical concept that refers to the trend in corporate governance whereby shareholders participate in the governance reforms that public corporations adopt. Participation is defined broadly: it does not merely refer to increases in shareholders’ direct voting power; rather, it encompasses reforms that reduce opportunities for managerial entrenchment (boards and management alike) that generally increase the ability of shareholders to become involved in the day-to-day operation of the business. After setting forth the framework for analyzing shareholders’ role in today’s corporation, the chapter outlines the distinctive features of SCG, such as majority voting and proxy access. It also looks at differences in governance regimes across a number of countries and the impact of these differences on shareholders’ interests.

Corporate Governance, Firms’ Characteristics and Environmental Performance Disclosure Practices of Indian Companies

2019 ◽  
Vol 12 (2) ◽  
pp. 142-155
Author(s):  
Ritu Pareek ◽  
Krishna Dayal Pandey ◽  
Tarak Nath Sahu
Keyword(s):  
Corporate Governance ◽  
Environmental Performance ◽  
Positive Impact ◽  
Stock Exchange ◽  
Panel Data Analysis ◽  
Independent Directors ◽  
Regulatory Body ◽  
Board Size ◽  
The Public ◽  
Negative Effect

This study attempts to explore the effect of corporate governance parameters like board size and independent directors along with firm-specific characteristics such as age, size and profitability on the environmental performance disclosure of 38 National Stock Exchange (NSE) listed Indian non-financial companies for the period of 2013–2017. This study uses panel data analysis and finally documents a positive impact of board size and age of firm on the environmental performance disclosures of Indian companies. The study also finds a significant and negative effect of board independence on the environmental performance disclosure of such companies. The study based on its findings questions the role of independent directors as an internal regulatory body and suggests external regulatory specifications for better environmental performance and its disclosure to the public.

Enabling Institutional Investors’ Collective Action

2012 ◽  
Vol 52 (1) ◽  
pp. 64-104 ◽  
Author(s):  
Jean-Pascal Gond ◽  
Valeria Piani
Keyword(s):  
Collective Action ◽  
Institutional Investors

scholarly journals Does Farmland Size Affect the Collective Action in Rural Areas? An Empirical Study on the Public Irrigation System in China

2021 ◽  
Vol 292 ◽  
pp. 01028
Author(s):  
Liangzhen Zang ◽  
Yiqing Su
Keyword(s):  
Public Sector ◽  
Collective Action ◽  
Rural Areas ◽  
Positive Impact ◽  
Irrigation System ◽  
The Public ◽  
Land Circulation ◽  
Per Capita ◽  
Agricultural Business ◽  
The Impact

Since smallholders accounted for a high proportion of 98.1% among the 207 million agricultural business households across China, it is particularly important to study the impact of farmland size on the provision of public goods attached to the public sector industries from the perspective of the irrigation collective action in rural areas. Based on the survey data of 283 villages in China, this paper finds that the farmland size has a positive impact on irrigation collective action, although the average of per capita farmland area is only 0.214 hectares in each household of China. Therefore, it is necessary to promote the farmland scale operation by land circulation, so as to improve the ability of collective action and the development of public sector industries in rural areas of China.

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