Access

You are not currently logged in.

Access your personal account or get JSTOR access through your library or other institution:

login

Log in to your personal account or through your institution.

If you need an accessible version of this item please contact JSTOR User Support

Corporate Governance Through the Proxy Contest: Evidence and Implications

David Ikenberry and Josef Lakonishok
The Journal of Business
Vol. 66, No. 3 (Jul., 1993), pp. 405-435
Stable URL: http://www.jstor.org/stable/2353207
Page Count: 31
  • Read Online (Free)
  • Download ($14.00)
  • Subscribe ($19.50)
  • Cite this Item
If you need an accessible version of this item please contact JSTOR User Support
Corporate Governance Through the Proxy Contest: Evidence and Implications
Preview not available

Abstract

The current literature concerning proxy contests provides little evidence that shareholders suffer materially from sub par performance prior to a contest. Furthermore, no study has thoroughly examined the long-term performance of targeted firms subsequent to a proxy contest. Using a sample of 97 election contests during the period 1968-87, we find negative abnormal returns and deteriorating operating performance prior to the announcement of a contest. Following the contest, negative abnormal returns are observed. These negative returns are driven by cases in which dissident shareholders successfully acquire board seats. The results for accounting based operating performance measures confirm these findings.

Page Thumbnails

  • Thumbnail: Page 
405
    405
  • Thumbnail: Page 
406
    406
  • Thumbnail: Page 
407
    407
  • Thumbnail: Page 
408
    408
  • Thumbnail: Page 
409
    409
  • Thumbnail: Page 
410
    410
  • Thumbnail: Page 
411
    411
  • Thumbnail: Page 
412
    412
  • Thumbnail: Page 
413
    413
  • Thumbnail: Page 
414
    414
  • Thumbnail: Page 
415
    415
  • Thumbnail: Page 
416
    416
  • Thumbnail: Page 
417
    417
  • Thumbnail: Page 
418
    418
  • Thumbnail: Page 
419
    419
  • Thumbnail: Page 
420
    420
  • Thumbnail: Page 
421
    421
  • Thumbnail: Page 
422
    422
  • Thumbnail: Page 
423
    423
  • Thumbnail: Page 
424
    424
  • Thumbnail: Page 
425
    425
  • Thumbnail: Page 
426
    426
  • Thumbnail: Page 
427
    427
  • Thumbnail: Page 
428
    428
  • Thumbnail: Page 
429
    429
  • Thumbnail: Page 
430
    430
  • Thumbnail: Page 
431
    431
  • Thumbnail: Page 
432
    432
  • Thumbnail: Page 
433
    433
  • Thumbnail: Page 
434
    434
  • Thumbnail: Page 
435
    435