Effective Shareholder Engagement: The Factors that Contribute to Shareholder Salience

Institutional investors are increasingly becoming active owners through voting their shares and engaging in dialogue with investee companies to improve corporate environmental, social and corporate governance (ESG) performance. This article applies a model of stakeholder salience to the shareholder...

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Bibliographic Details
Published in:Journal of business ethics
Main Author: Gifford, E. James M. (Author)
Format: Electronic Article
Language:English
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Published: Springer Science + Business Media B. V 2010
In: Journal of business ethics
Further subjects:B stakeholder salience
B shareholder activism
B shareholder engagement
Online Access: Volltext (lizenzpflichtig)
Description
Summary:Institutional investors are increasingly becoming active owners through voting their shares and engaging in dialogue with investee companies to improve corporate environmental, social and corporate governance (ESG) performance. This article applies a model of stakeholder salience to the shareholder context, analysing the attributes of power, legitimacy and urgency, to determine the factors that are likely to enhance shareholder salience. It is found that a strong business case and the values of the managers of investee companies are likely to be the most important contributors to shareholder salience.
ISSN:1573-0697
Contains:Enthalten in: Journal of business ethics
Persistent identifiers:DOI: 10.1007/s10551-010-0635-6