Innovation

How Hedge Fund Activism Leads Companies Away From Basic Research

Fuqua professors found that research-active firms scale back foundational science after hedge fund activist campaigns

In 2014, DuPont, “one of America’s most storied research-driven corporations,” became the target of an activist campaign. The company’s reputation as an innovation powerhouse – where Kevlar and nylon were invented – met demands of greater efficiency in the name of increasing shareholder value. After a prolonged fight that… read more