Shareholder Engagement for Corporate Governance in the Light of the Harmonization and Transposition

Robert K. MacGregor, Radka MacGregor Pelikánova
International Journal of Economics and Business Administration, Volume VII, Issue 4, 22-34, 2019
DOI: 10.35808/ijeba/329

Abstract:

Purpose: This comparative study holistically assesses the EU harmonization and various transposition strategies embraced by EU member states to implement measures for corporate governance, namely for the sustainable corporate governance. Design/Methodology/Approach: The contribution and the relevant methodology is based on a duality of purposes. They are (i) on a review and analysis of EU harmonization endeavors designed to shape the exercise of shareholders rights and specifically encouraging a long-term shareholder engagement as the vehicle to increase corporate social responsibility (CSR) and (ii) on a pioneering critical comparative Meta-analysis of selected transposition strategies and their potential to testify about the genuiness of the underlying commitment. Findings: Based on the holistically implied arguments and yielded results, it is proposed that, despite rather clear EU harmonization measures, there are dramatic differences in transposition strategies testifying about deep differences in the approach to corporate governance and CSR across the EU. Practical implications: Based on addressing its dual purposes, this study sheds a new light on the perception and attitude to the corporate governance, shareholder long-term engagement, CSR and their framework in the EU. This leads to a set of recommendations to increase the effectiveness and efficiency of the current harmonization endeavors. Originality/Value: Although this study organically builds upon recent studies about corporate governance and CSR, it brings a pioneering comparative assessment of transposition strategies and an innovative idea to use it as a well founded instrument to understand and appreciate the harmonization potential in this field and to improve it.


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