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investor activism

Investor activism involves shareholders using their influence to encourage a company's management to make changes they believe will improve the company's performance, governance, or sustainability. Activist investors often take sizable stakes in a company and then engage through discussions, proposals, or campaigns to advocate for strategic shifts, operational improvements, or increased transparency. Their goal is typically to boost the company's value and, ultimately, investor returns. This practice can lead to positive change, but it may also create conflicts if interests diverge. Overall, investor activism is a way for shareholders to actively participate in shaping a company's direction.