Abstract

Shareholder Activism encapsulates a new dimension in the area of corporate governance. Decision-making power of the shareholders play an integral role in corporate meetings. The activism culminates as an important right for the shareholders who takes decision and thereby influencing the company’s policies as a whole. The amendments in the company’s policies will thereby increase the shareholder’s value and will enable the shareholders to actively participate in the company meetings. When the shareholder feels that certain amendments should be done in these policies then the concept of shareholder activism came into limelight. The minority shareholder on the other hand faces oppression due to mismanagement of the company’s affairs. Due to oppression and mismanagement of the company’s affairs, the rights of minority shareholders are at stake and they are usually in an disadvantageous situations with limited voting rights. This activism will provide an ample opportunity for them such as active participation of the shareholders, better management strategies of the organisation and equal voting rights to both majority as well as minority shareholders. This will ensure the transparency and fairness in the organisation. This foremost step will outshine the rights of the minority shareholders who are less considered while decision-making is conducted in an organization. Through my research paper, I have highlighted as to how there has been an immense rise of activism in United Kingdom but on the other hand, Indian Government are still working on this concept which will protect the rights of the shareholders in the near future. Therefore, Shareholder Activism acts as a beam of light for the minority shareholders which will prove to be a great contribution towards the growth of corporate governance.

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