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Actually, several studies have even shown it to improve corporate performance.
(Renuka Rayasam explored this and other research in her November piece on whether female board members improve corporate performance).
"Poison pills" that are triggered when activists buy shares should be banned.On the whole, Mr Icahn and his imitators help to improve corporate performance by stirring up much-needed debate about strategy and leadership, just as in democracies the government of a country is improved by the existence of an effective opposition.
"It should improve corporate performance and lead to more competitive CEO compensation practices".
Therefore, these firms can keep their market positions ahead of rivals and improve corporate performance.
Therefore, these companies can obtain competitive advantages and improve corporate performance.
Similar(49)
But is it actually improving corporate performance?
Do stock options align the interests of managers with those of shareholders, thus improving corporate performance?
If we capped the deductibility of corporate debt, and closed the carried-interest loophole, it would not prevent private-equity firms from buying companies or improving corporate performance.
The academics Sanjai Bhagat and Bernard Black, for instance, have found no evidence that simply appointing more independent directors improves corporate performance.
If the track record of layoffs in improving corporate performance and shareholder returns is so mediocre, why do executives still find them tempting?
More suggestions(19)
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