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Full-Text Articles in Law
Managerial Fixation And The Limitations Of Shareholder Oversight, Emily R. Winston
Managerial Fixation And The Limitations Of Shareholder Oversight, Emily R. Winston
Faculty Publications
BlackRock’s recent public letters to the CEOs of the companies in which it invests have drawn substantial attention from stock market actors and observers for their conspicuous call on corporate CEOs to focus on sustainability and social impacts on non-shareholder stakeholders. This Article explores the market changes that propelled BlackRock into a position to make such a call, and whether institutional shareholders can be effective monitors of these broad social goals. It argues that while corporate attention to non-shareholder stakeholders can improve firm value, shareholder oversight of these stakeholder relationships will not succeed in having this effect.
In the past …
Benefit Corporations And The Separation Of Benefit And Control, Emily R. Winston
Benefit Corporations And The Separation Of Benefit And Control, Emily R. Winston
Faculty Publications
Scholars, activists, and other observers have expressed concern about the social effects of corporate activity in the United States since as early as the nineteenth century. A recurring theme in this debate has been whether corporations’ focus on shareholder interests causes them to neglect and harm the interests of other constituencies affected by corporate activity. A recent and prominent effort to address this concern is the social enterprise movement, which is unique because it has resulted in the creation of entirely new business entities designed specifically for for-profit businesses devoted to pursuing social missions. One of the most widely adopted …