How the Sharing Economy Is Transforming 'Corporate Governance'
Lex Research Topics in Corporate Law & Economics Working Paper No. 2017-2
12 Pages Posted: 1 May 2017
Date Written: April 3, 2017
Snap’s IPO with no voting rights shows there is disagreement on what good governance means. Some experts viewed the founders’ total control over Snap, and the resulting lack of accountability to shareholders, as a “banana republic approach” to corporate governance. Others believe that Snap’s IPO shifts the balance from shareholders to stakeholders. But perhaps this is the wrong discussion. In an age of disruptive technology, the sharing economy and a millennial culture, the traditional perspective needs to change. A new “corporate governance” needs to be designed around this new reality.
Keywords: Artificial Intelligence, Big Data, Communication, Corporate Governance, Dual Class Shares, Ecosystem, Innovation, Ipo, Non-Voting Stock, Platforms, Sharing Economy, Technology, Trust
JEL Classification: D83, G34, L23, L25, L26, K22, O16
Suggested Citation: Suggested Citation