Tensions among corporate stakeholders are rising. Managers and shareholders continue to battle for primacy as power tilts toward shareholders with the ongoing rise of institutional investors. Formerly passive investors are choosing voice over exit more often than ever before. Proxy advisory firms are influencing shareholder voting, attracting opposition from corporate lobbyists. Other stakeholders seek greater influence too. Amazon's dust-up in New York City shows the influence of communities and the resurgence of popular movements. Exxon's recent experience over climate change illustrates the power of environmental concerns even for investors in traditional energy companies. Labor is flexing its muscles through pension funds. Technology provides new ways for stakeholders to coordinate their activities and increase their influence. This panel explores the resulting tensions, their implications for corporate governance, and the mechanisms for mediating them.
The Section held a virtual business meeting prior to the Annual Meeting.