TY  - JOUR
TI  - Short-Termism in Publicly Listed Companies and Corporate
Governance
AB  - Short-termism is known as sacrificing long-term sustainable earnings for short-term returns. The pressure on management
to obtain short-term results usually generates negative medium and long-term outcomes. This is because investors are
inclined to sell their stocks when they hear about a shadow of bad news. In this context, business executives can decide
to meet short-term shareholders expectations or prioritise the growth of their company. In other words, on the one
hand, the company management should consider all possible economic variables within the scope of the necessity of
protecting the company’s capital, on the other hand, it should also ensure the participation to the capital that will benefit
the financial structure of the company, especially from the cash flow point of view. Short-termism hinders effective
company management, particularly for publicly listed companies, due to the convenience of trading stock transactions
and more transparent management decisions. Considering abovementioned facts, this study examines the increasing
trend in short-termism as an intertemporal choice and discusses solutions that can be offered through corporate
governance principles.
AU  - Erdem, Fatih Bugra
DO  - 10.26650/annales.2021.70.0003
PY  - 2021
JO  - Annales de la Faculté de Droit d Istanbul
VL  - 0
IS  - 70
SN  - 0578-9745
SP  - 73
EP  - 89
DB  - TRDizin
UR  - http://search/yayin/detay/510413
ER  -