Amid the challenges of the post-pandemic era, companies are rolling out incentives to entice shareholders to attend their annual general meetings. From cash and food to massage machines, these gifts are aimed at providing a boost for investors who have been affected by the economic downturn.
For instance, Ms. Huyen Cham, a shareholder of Saigon Commercial Bank for Industry and Trade, was given VND 600,000 in a half-hour meeting. Although she felt that it was a small compensation for her efforts as a shareholder, she appreciated the gesture nonetheless.
Companies like Militari Bank, SHB and Construction Development Investment Joint Stock Corporation also offer various gifts to their shareholders based on the number of shares they own. These presents include rice, fish sauce, home appliances and health products. While some companies may spend billions on these gifts, others prefer online shareholder meetings to save costs amid tight market conditions.
Vinamilk, Mobile World and Hoa Binh Group are among the companies that have recorded a decrease in revenue and profit due to the impact of the pandemic. In response to this challenge, they have opted for virtual annual general meetings to cut costs while still engaging with their shareholders effectively.
According to an economic expert from Ho Chi Minh City, giving gifts to shareholders helps create excitement and improve the perception of business among investors. This trend is seen as a way to engage shareholders at annual meetings and potentially encourage them to stay invested in the company for longer periods.
Despite facing tough market conditions in the first few months of the year, businesses remain optimistic about recovery later in 2021. Many companies are hoping that increased business activity during the third quarter will lead to improved financial performance as they navigate this uncertain period together.
In conclusion, while businesses face numerous challenges in post-pandemic times, incentivizing shareholders through gifts can be an effective way to keep them engaged and motivated during tough times.