Shareholders Lack Proper Incentives for Positive Business Outcomes, Study Finds.
The article discusses two conflicting views on the role of shareholders in companies. One view sees shareholders as a positive force in corporate governance, while the other view suggests they lack the motivation and information to contribute effectively. Research on shareholder activism shows that shareholders often struggle to make a positive impact on business outcomes, contradicting the current belief that they are generally beneficial. This challenges the dominant theory in corporate law and suggests a need for re-evaluation of current regulatory practices.