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Shareholder value and the corporation

  • 1.  Shareholder value and the corporation

    Posted 04-19-2013 15:09
    Shareholder value and the corporation
    The conventional wisdom is that corporations should aim to maximise shareholder value. Following the financial crisis, has this idea failed? Do we need to generate new ways of thinking about the ultimate purpose of the corporation?  
     
    Wednesday 24 April 2013, 18:00-20:30 
    Cass Business School,     106 Bunhill Row, London EC1Y 8TZ
    Room: LG001     
    Registration:     18:00-18:30 
     
    Speakers
    Moderator: Joris Luyendijk, the Guardian's Banking blogger
    Professor Igor Filatotchev, Associate Dean, Cass Business School
    Professor Colin Mayer, Past Dean of the Said Business School at Oxford University
    Dr Arad Reisberg, Director of the Commercial Law Centre at UCL
    Professor Andre Spicer, Cass Business School
    Dr Daniel Summerfield, Head of Responsible Investments at USS
    Professor Paddy Ireland, Kent Law School
     
    Description
    The idea that corporations should aim to maximise shareholder value seems to be under attack from many corners. Commentators have pointed out that corporations have a wider range of goals they should pursue which go beyond just building shareholder value. Some have even pointed out that simply pursuing shareholder value can actually be destructive for the long term prospects of the corporation. This has led to calls for a radical rethinking of the ultimate purpose of corporations and how they should be structured.

    In this discussion we will ask whether corporations should focus on the pursuit of shareholder value. Is a focus on maximising shareholder value a vital discipline that stops manager from using the shareholders hard earned money to feather their own nests? Or is a relentless focus on maximising shareholder value 'the dumbest idea in the world' (to quote Jack Welch)?

    To explore these questions, we have bought together a range of experts to discuss whether corporations should focus on maximising shareholder value. The panel will include Professor Colin Mayer (past dean of the Said Business School at Oxford University and author of 'Firm Commitments: why the corporation is failing us and how to restore trust'), Professor Paddy Ireland (Kent Law School), Dr Arad Reisberg (Director of the Commercial Law Centre at UCL), Daniel Summerfield (Head of Responsible Investments at USS) and Igor Filatotchev (Associate Dean, Cass Business School). The debate will be moderated by Joris Luyendijk from the Guardian.

    The event is organised by Cass Business School and the Critical Corporation Project. To book your place, please go to:http://bunhill.city.ac.uk/media/events.nsf/(AllEvents)/F110D249B5C5DBB580257AAD005D8E90/?OpenDocument