Insights on Governance

“…[C]orporate hegemony won’t be overthrown so easily. It depends on a culture that values and demands accountability… and it demands that those with a majority stake in the corpocracy — its principal owners and beneficiaries — lead the way back to the broad light of day.”

Robert A.G. Monks, Corpocracy. Hoboken: John Wiley & Sons, Inc., 2008. Print. Pg. 219

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“The ultimate reality of American corporate governance is that CEOs have used their power, first, to pay themselves as much as possible; second, to obscure what they are legally required to disclose so as to blur objective scrutiny; third, to treat as a normal entitlement such steps as backdating options to enhance returns to which they were ostensibly entitled; and fourth, to transfer as much of their real compensation categories where disclosure was not strictly required, creating a treasure house of stealth compensation…”

Robert A.G. Monks, Corpocracy. Hoboken: John Wiley & Sons, Inc., 2008. Print. Pg. 99

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“Lucian Bebchuk, the indefatigable and courageous Harvard Law School professor, concludes that the top five executives of public companies increased their compensation from 4.7 percent of profits in 1993-1995 to 10.3 percent of profits in 2000-2003.”

Robert A. G. Monks, Corpocracy. Hoboken: John Wiley & Sons, Inc., 2008. Print. Pg. 81

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“Over time, shareholders came to treat their stocks not as property that they could work to improve but as betting slips…”

Robert A. G. Monks, Corpocracy. Hoboken: John Wiley & Sons, Inc., 2008. Print. Pg. 114

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“Directors of nearly all major U.S. corporations are self-perpetuating and thus cannot be held in any meaningful sense to be independent of the originations on whose boards they serve.”

Robert A. G. Monks, Corpocracy. Hoboken: John Wiley & Sons, Inc., 2008. Print. Pg. 192

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“…The possibility of takeover is the prime weapon of ownership in requiring accountability from management. Put in economic terms, ultimate protection of the principal against abuse by the agent lies in the capacity of free bidders to acquire an underperforming company.”

Robert A.G. Monks, Corpocracy. Hoboken: John Wiley & Sons, Inc., 2008. Print. Pg. 52

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“Through the Business Round Table and thanks to its efforts, the big corporation CEOs have established themselves as a new and separate class in the governance of American corporations, answerable to virtually no one, accountable only to themselves.”

Robert A. G. Monks, Corpocracy. Hoboken: John Wiley & Sons, Inc, 2008. Print. Pg. 72