Managerial Activism

61 Pages Posted: 15 May 2019 Last revised: 29 Apr 2024

See all articles by Senay Agca

Senay Agca

George Washington University - School of Business, Department of Finance

Asli Togan Egrican

Kadir Has University

Date Written: January 31, 2024


We examine managerial activism through collective action in the corporate sector. Activist managers spend considerable resources in pursuing pro-business and pro-manager issues. While managerial activism is valuable in the pursuit of pro-business strategies, pro-manager agendas may exacerbate agency problems. Our evidence shows that firm performance improves with managerial activism through collective pro-business effort but is diminished by pro-manager activism. Furthermore, pro-business activism typically increases CEO compensation, whereas pro-manager activism decreases it. Firms that benefit most from collective managerial activism are those that are government dependent, have more intangible assets, or operate in industries with low competition. Overall, pro-business managerial activism adds value to firms, especially when information dissemination is more essential due to firm characteristics.

Keywords: Corporate Governance, Managerial Activism, CEO Compensation, Firm Performance, Corporate Social Responsibility

JEL Classification: G14, G18, G34, G38, D7

Suggested Citation

Agca, Senay and Togan Egrican, Asli, Managerial Activism (January 31, 2024). Available at SSRN: or

Senay Agca (Contact Author)

George Washington University - School of Business, Department of Finance ( email )

2201 G Street
Funger Hall 505
Washington, DC 20052
United States
202-994-9209 (Phone)
202-994-5014 (Fax)


Asli Togan Egrican

Kadir Has University ( email )

Faculty of Economics and Administrative Sciences


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