LEADERSHIP | SHAREHOLDER VALUE
So with all of these listings , what do regional CEOs need to know about the changing nature of shareholder value ?
Shareholder value as important today as ever “ In emerging Markets , many large companies are family-controlled or statecontrolled . These companies may prioritise family or national interests over minority shareholders ,” says Barbara Spitzer , Founder and Chief Executive Officer at Two Rivers Partners , and a former senior executive at Accenture .
“ Corporate governance standards may be less developed , leading to potential issues with transparency and minority shareholder rights . However , as these countries integrate more with the global economy , there ' s an increasing trend towards better corporate governance and greater emphasis on shareholder value .”
When it comes to shareholder value , Craig Bouchard wrote the book – literally . His New York Times bestseller ‘ The Caterpillar Way : Lessons in Leadership , Growth and Shareholder Value ’ may have been written a decade ago , but “ shareholder value will always be considered relevant , especially in our highly competitive investment arena ,” the Founder and Executive Chairman of Ecolution kWh tells Business Chief .
“ Exceeding shareholder expectations is the single most important performance indicator to attracting and retaining professional investors .”
Spitzer adds that while shareholder value remains core , CEOs must balance it with other stakeholders ' interests , including employees , customers , and the broader society .
“ CEOs and boards are redefining shareholder value to include social and environmental ; not as separate concerns because there is no long-term shareholder value without caring about employees , customers , communities , and other stakeholders expect and need ,” adds Spitzer .
Dubai-based Phillip Lord has 25 years of financial markets experience and is currently President of crypto payments platform Oobit . He has a more pragmatic approach to shareholder value .
“ It ’ s always relevant , but when markets and stocks go down , shareholders have more impact with the management on their advice and demands ,” he says .
“ We have gone from ‘ growth company mode ’ to ‘ profit company mode ’. Companies need to focus on generating revenues , not just spending it for growth .”
Lord argues that geography does not matter , and that “ everyone should be focused on building a great business ” and says CEOs should “ embrace AI , cut costs , grow the company , and generate sustainable profits ”.
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