The document discusses relational investing and corporate governance. Relational investing involves committing to not tender shares to a hostile bidder in exchange for improved board representation and internal controls. Relational investors aim to generate excess returns by focusing on long-term investment strategies and acting more like owners of companies through board representation, proxy contests, and relationships. While relational investing can provide asymmetrical rewards and insights, it also involves high costs, retaliation risks, low liquidity, and long holding periods. Good corporate governance, including independent boards and accountability, promotes good decision making and returns for investors.