Why encouraging minority investor involvement

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In early 2015 many French minority shareholders made dramatic use of new “say on pay” votes, to express their frustrations over high fixed remuneration as well as a perceived lack of transparency about the way bonuses are calculated. Such shareholder activism suggests concerns about both the level of executive pay and how it is decided. Discuss the components of CEO pay, the rationale behind these compensation packages and why encouraging minority investor involvement in such decisions enhances corporate governance practices in corporations.

Reference no: EM131933661

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