Executives and shareholders: A shift in the relationship

Albert A. Cannella

Research output: Contribution to journalArticle

9 Citations (Scopus)

Abstract

This article suggests that a shift has developed in the ongoing relationship between executives and shareholders with shareholders gaining more power over executives. The power shift has been driven by institutional investors and hostile takeovers and is visible in changing patterns of succession. More executives are being dismissed for poor performance and are being dismissed more quickly following the onset of poor performance. Two potential negative outcomes are a decreased willingness of executives to undertake risky strategies and a decreased ability of executives to build long‐term, trusting relationships with stakeholders, even when these actions would be beneficial to shareholders. © 1995 by John Wiley & Sons, Inc.

Original languageEnglish (US)
Pages (from-to)165-184
Number of pages20
JournalHuman Resource Management
Volume34
Issue number1
DOIs
StatePublished - 1995
Externally publishedYes

Fingerprint

Shareholders

ASJC Scopus subject areas

  • Management of Technology and Innovation
  • Organizational Behavior and Human Resource Management
  • Strategy and Management
  • Applied Psychology

Cite this

Executives and shareholders : A shift in the relationship. / Cannella, Albert A.

In: Human Resource Management, Vol. 34, No. 1, 1995, p. 165-184.

Research output: Contribution to journalArticle

Cannella, Albert A. / Executives and shareholders : A shift in the relationship. In: Human Resource Management. 1995 ; Vol. 34, No. 1. pp. 165-184.
@article{76e05f4e642a458b978936c66bf5a5d8,
title = "Executives and shareholders: A shift in the relationship",
abstract = "This article suggests that a shift has developed in the ongoing relationship between executives and shareholders with shareholders gaining more power over executives. The power shift has been driven by institutional investors and hostile takeovers and is visible in changing patterns of succession. More executives are being dismissed for poor performance and are being dismissed more quickly following the onset of poor performance. Two potential negative outcomes are a decreased willingness of executives to undertake risky strategies and a decreased ability of executives to build long‐term, trusting relationships with stakeholders, even when these actions would be beneficial to shareholders. {\circledC} 1995 by John Wiley & Sons, Inc.",
author = "Cannella, {Albert A.}",
year = "1995",
doi = "10.1002/hrm.3930340110",
language = "English (US)",
volume = "34",
pages = "165--184",
journal = "Human Resource Management",
issn = "0090-4848",
publisher = "Wiley-Liss Inc.",
number = "1",

}

TY - JOUR

T1 - Executives and shareholders

T2 - A shift in the relationship

AU - Cannella, Albert A.

PY - 1995

Y1 - 1995

N2 - This article suggests that a shift has developed in the ongoing relationship between executives and shareholders with shareholders gaining more power over executives. The power shift has been driven by institutional investors and hostile takeovers and is visible in changing patterns of succession. More executives are being dismissed for poor performance and are being dismissed more quickly following the onset of poor performance. Two potential negative outcomes are a decreased willingness of executives to undertake risky strategies and a decreased ability of executives to build long‐term, trusting relationships with stakeholders, even when these actions would be beneficial to shareholders. © 1995 by John Wiley & Sons, Inc.

AB - This article suggests that a shift has developed in the ongoing relationship between executives and shareholders with shareholders gaining more power over executives. The power shift has been driven by institutional investors and hostile takeovers and is visible in changing patterns of succession. More executives are being dismissed for poor performance and are being dismissed more quickly following the onset of poor performance. Two potential negative outcomes are a decreased willingness of executives to undertake risky strategies and a decreased ability of executives to build long‐term, trusting relationships with stakeholders, even when these actions would be beneficial to shareholders. © 1995 by John Wiley & Sons, Inc.

UR - http://www.scopus.com/inward/record.url?scp=84977350937&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84977350937&partnerID=8YFLogxK

U2 - 10.1002/hrm.3930340110

DO - 10.1002/hrm.3930340110

M3 - Article

AN - SCOPUS:84977350937

VL - 34

SP - 165

EP - 184

JO - Human Resource Management

JF - Human Resource Management

SN - 0090-4848

IS - 1

ER -