Power Struggle in the Boardroom: Lessons from Paramount Global’s Governance Challenges

Mehdi Samimi; Samira Fallah

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Power Struggle in the Boardroom: Lessons from Paramount Global’s Governance Challenges

Mehdi Samimi

Colin Powell School for Civic and Global Leadership, The City College of New York, USA

Samira Fallah

College of Business, University of Mary Washington, USA

Volume 18: 2025, pp. 11-30; ABSTRACT

This case explores the challenges faced by Paramount Global between May 2023 and August 2024, a period marked by declining performance, the pressing need to adapt to shifting industry trends, and the evaluation of multiple acquisition bids. Central to the case are the internal power struggles and boardroom conflicts that emerged during the assessment of these bids. Paramount’s dual-class share structure, which grants unequal voting rights, empowered Shari Redstone, the executive chair and majority voting shareholder, to prioritize her self-interest and personal agenda. This dynamic led to tensions, divergence from the company’s broader interests, and a compromised evaluation of the acquisition bids. The case provides a framework for discussing critical corporate governance challenges, including the complexities of dual-class share structures, the risks posed by self-interested leadership, and the broader implications of conflicts of interest in strategic decision-making processes.

Keywords: corporate governance, dual-class share, board of directors, conflict of interest, shareholders, self-interest, power.