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  • All HBS Web  (3,336)
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    • News  (620)
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  • 2021
  • Working Paper

Once Bitten, Twice Shy: Learning from Corporate Fraud and Corporate Governance Spillovers

By: Trung Nguyen
This paper finds that investors learn from their experience with corporate fraud and financial misconduct and modify their investment behavior to avoid suspicious firms and increase corporate governance efforts. More specially, mutual funds that experienced corporate... View Details
Keywords: Institutional Investors; Investor Experience; Shareholder Voting; Corporate Fraud; Corporate Governance; Institutional Investing; Behavior; Change; Learning
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Nguyen, Trung. "Once Bitten, Twice Shy: Learning from Corporate Fraud and Corporate Governance Spillovers." Harvard Business School Working Paper, No. 21-135, June 2021.
  • 2015
  • Book

Political Standards: Corporate Interest, Ideology, and Leadership in the Shaping of Accounting Rules for the Market Economy

By: Karthik Ramanna
There are certain institutions underlying our modern market-capitalist system that are largely outside the interest and understanding of the general public—e.g., rulemaking for bank capital adequacy, actuarial standards, accounting standards, and auditing practice. In... View Details
Keywords: Business And Society; Financial Institutions; Financial Reporting; GAAP; IFRS; Lobbying; Capitalism; Sustainability; Accounting; Finance; Business and Government Relations; Leadership; Accounting Industry; Financial Services Industry; United States; China; India
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Ramanna, Karthik. Political Standards: Corporate Interest, Ideology, and Leadership in the Shaping of Accounting Rules for the Market Economy. Chicago: University of Chicago Press, 2015. (Reviews by Anat Admati, S.P. Kothari, Lynn Stout, Lawrence Summers, and Luigi Zingales, among others.)
  • 2007
  • Other Unpublished Work

Hedge Fund Investor Activism and Takeovers

By: Robin Greenwood and Michael Schor
We examine long-horizon stock returns around hedge fund activism in a comprehensive sample of 13D filings by portfolio investors between 1993 and 2006. Abnormal returns surrounding investor activism are high for the subset of targets that are acquired ex-post, but not... View Details
Keywords: Mergers and Acquisitions; Private Equity; Investment Return; Investment Activism; Investment Portfolio; Corporate Governance
Citation
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Greenwood, Robin, and Michael Schor. "Hedge Fund Investor Activism and Takeovers." 2007.
  • June 2016
  • Article

Corporate Governance and Executive Compensation for Corporate Social Responsibility

By: Bryan Hong, Zhichuan (Frank) Li and Dylan B. Minor
We link the corporate governance literature in financial economics to the agency cost perspective of corporate social responsibility (CSR) to derive theoretical predictions about the relationship between corporate governance and the existence of executive compensation... View Details
Keywords: Corporate Social Responsibility; Incentives For CSR; Non-financial Performance Measures; Agency Costs; Board Independence; Institutional Holdings; Managerial Power; Motivation and Incentives; Corporate Social Responsibility and Impact; Executive Compensation; Corporate Governance
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Hong, Bryan, Zhichuan (Frank) Li, and Dylan B. Minor. "Corporate Governance and Executive Compensation for Corporate Social Responsibility." Journal of Business Ethics 136, no. 1 (June 2016): 199–213.
  • February 16, 2016
  • Article

The Political Issues Board Directors Care Most About

By: Boris Groysberg and J. Yo-Jud Cheng
Keywords: Board Of Directors; Political Issues; Corporate Governance
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Groysberg, Boris, and J. Yo-Jud Cheng. "The Political Issues Board Directors Care Most About." Harvard Business Review (website) (February 16, 2016).
  • 2014
  • Working Paper

Speaking of Corporate Social Responsibility

By: Hao Liang, Christopher Marquis, Luc Renneboog and Sunny Li Sun
We argue that the language spoken by corporate decision makers influences their firms' social responsibility and sustainability practices. Linguists suggest that obligatory future-time-reference (FTR) in a language reduces the psychological importance of the future.... View Details
Keywords: Language; Future-Time-Reference; Categories; Culture; Corporate Social Responsibility; Sustainability; Communication; Corporate Social Responsibility and Impact
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Liang, Hao, Christopher Marquis, Luc Renneboog, and Sunny Li Sun. "Speaking of Corporate Social Responsibility." Harvard Business School Working Paper, No. 14-082, March 2014.
  • 12 May 2008
  • Research & Ideas

Accounting Information as Political Currency

Corporate donations to political campaigns reveal a lot about mutual back-scratching in the political and business arenas. Now new research from Harvard Business School reveals... View Details
Keywords: by Martha Lagace
  • July 2021
  • Supplement

CIAM: Home-Grown Shareholder Activism in France (B)

By: Charles C.Y. Wang, Tonia Labruyere and Vincent Dessain
This case is a complement to CIAM: Home-Grown Shareholder Activism in France (A) and describes the events after CIAM learned about a potential misuse of corporate assets at Altice/SFR. View Details
Keywords: Corporate Governance; Valuation; Investment Activism; Accounting; Strategy; Financial Services Industry; France
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Wang, Charles C.Y., Tonia Labruyere, and Vincent Dessain. "CIAM: Home-Grown Shareholder Activism in France (B)." Harvard Business School Supplement 121-078, July 2021.
  • 2013
  • Article

Multinational Corporations, Global Justice and Corporate Responsibility: A Question of Purpose

By: Nien-he Hsieh
Do multinational corporations (MNCs) have a responsibility to address unjust conditions—not simply by refraining from contributing to injustice, but also by actively working to bring about a just state of affairs? This paper examines whether this question can be... View Details
Keywords: Multinational Corporations; Global Justice; Corporate Purpose; Corporate Responsibility; Human Needs; Multinational Firms and Management; Corporate Social Responsibility and Impact
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Hsieh, Nien-he. "Multinational Corporations, Global Justice and Corporate Responsibility: A Question of Purpose." Notizie di Politeia 29, no. 111 (2013).
  • 2004
  • Chapter

Measuring the Value of Political Connections After Liberalization: Some Thoughts on Theoretical Constructs and Improved Research Design

By: Jordan I. Siegel
Scholars have recently begun to focus heightened attention on how firms in emerging economies react and even thrive during deep liberalization. Yet one fundamental question remains less than satisfactorily answered. How much in terms of scarce resources should firms in... View Details
Keywords: Liberalization; Emerging Economies; Political Connections; Business and Government Relations; Emerging Markets; Strategy
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Siegel, Jordan I. "Measuring the Value of Political Connections After Liberalization: Some Thoughts on Theoretical Constructs and Improved Research Design." In Global Corporate Evolution: Looking Inward or Looking Outward, edited by Michael A. Trick. Carnegie-Mellon International Management Series. Pittsburgh: Carnegie Mellon University Press, 2004.
  • August 23, 2016
  • Article

7 Charts Show How Political Affiliation Shapes U.S. Boards

By: J. Yo-Jud Cheng and Boris Groysberg
Keywords: Board Of Directors; Political Affiliation; Corporate Governance
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Cheng, J. Yo-Jud, and Boris Groysberg. "7 Charts Show How Political Affiliation Shapes U.S. Boards." Harvard Business Review (website) (August 23, 2016).
  • 10 Jun 2018
  • Panel Discussion

Tax Exempt Lobbying: Corporate Philanthropy as a Tool for Political Influence

By: Lynn S. Paine
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"Tax Exempt Lobbying: Corporate Philanthropy as a Tool for Political Influence." Conference on Corporate Political Engagement in Europe and the US, University of Oxford, Blavatnik School of Government, Oxford, England, June 10, 2018.
  • June 2020
  • Case

Recovering Trust After Corporate Misconduct at Wells Fargo

By: Suraj Srinivasan and Jonah S. Goldberg
The case describes widespread misconduct at Wells Fargo Community Bank in the period leading up to 2017 and the company’s subsequent attempts to improve internal controls, company culture, and corporate governance. The case examines the potential causes of large scale... View Details
Keywords: Corporate Misconduct; Internal Controls; Banks and Banking; Crime and Corruption; Corporate Governance; Organizational Culture; Governance Compliance; Management Systems; Organizational Change and Adaptation; Performance Improvement; Governing and Advisory Boards
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Srinivasan, Suraj, and Jonah S. Goldberg. "Recovering Trust After Corporate Misconduct at Wells Fargo." Harvard Business School Case 120-128, June 2020.
  • 2024
  • Article

Political Polarization and Finance

By: Elisabeth Kempf and Margarita Tsoutsoura
We review an empirical literature that studies how political polarization affects financial decisions. We first discuss the degree of partisan segregation in finance and corporate America, the mechanisms through which partisanship may influence financial decisions, and... View Details
Keywords: Government and Politics; Investment Portfolio; Decisions; Governance
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Kempf, Elisabeth, and Margarita Tsoutsoura. "Political Polarization and Finance." Annual Review of Financial Economics 16 (2024): 413–434.
  • 2007
  • Working Paper

Hedge Fund Investor Activism and Takeovers

By: Robin Greenwood and Michael Schor
We examine long-horizon stock returns around hedge fund activism in a comprehensive sample of 13D filings by portfolio investors between 1993 and 2006. Abnormal returns surrounding investor activism are high for the subset of targets that are... View Details
Keywords: Mergers and Acquisitions; Private Equity; Investment Return; Investment Activism; Investment Portfolio; Corporate Governance
Citation
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Greenwood, Robin, and Michael Schor. "Hedge Fund Investor Activism and Takeovers." Harvard Business School Working Paper, No. 08-004, July 2007.
  • 19 Jun 2008
  • Working Paper Summaries

Accounting Information as Political Currency

Keywords: by Karthik Ramanna & Sugata Roychowdhury; Accounting
  • 21 May 2008
  • Research & Ideas

Going Negative in Political Advertising

choice and the uncertainty about who will prevail has fueled heavy media coverage and grassroots activism that add to voter interest. Choice and uncertainty also spawn fierce competition. The result of the winner-take-all View Details
Keywords: by John Quelch
  • March 2017 (Revised April 2021)
  • Module Note

Responsibilities to Society

By: Nien-hê Hsieh
This module note for students outlines an approach to help managers deliver on their responsibilities in relation to society. The approach frames these responsibilities in terms of potential harms to third parties beyond investors, customers, and employees. The... View Details
Keywords: Corporate Political Activity; Corporate Social Responsibility; Human Rights; Role Of Business In Society; Corporate Social Responsibility and Impact; Ethics; Business and Community Relations; Rights; Society
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Hsieh, Nien-hê. "Responsibilities to Society." Harvard Business School Module Note 317-065, March 2017. (Revised April 2021.)
  • 2013
  • Working Paper

FIN Around the World: The Contribution of Financing Activity to Profitability

By: Russell Lundholm, George Serafeim and Gwen Yu
We study how the availability of domestic credit influences the contribution that financing activities make to a firm's return on equity (ROE). Using a sample of 51,866 firms from 69 countries, we find that financing activities contribute more to a firm's ROE in... View Details
Keywords: Domestic Credit; Return Of Equity; Corporate Performance; Financial Statement Analysis; Financial Statements; Valuation; Cost of Capital; Asset Pricing; Economic Growth
Citation
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Lundholm, Russell, George Serafeim, and Gwen Yu. "FIN Around the World: The Contribution of Financing Activity to Profitability." Harvard Business School Working Paper, No. 13-011, July 2012. (Revised March 2014.)
  • January 2006 (Revised February 2006)
  • Case

E.ON Corporate Strategy

By: Forest L. Reinhardt and Sebastian Frankenberger
Examines the corporate strategy of German energy giant E.ON. The firm is vertically integrated, horizontally diversified across electricity and natural gas, and active in numerous countries in Europe as well as in the United States. Explores the costs and benefits of... View Details
Keywords: Diversification; Vertical Integration; Corporate Strategy; Globalization; Energy Sources; Economics; Energy Industry; Germany; United States; Europe
Citation
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Reinhardt, Forest L., and Sebastian Frankenberger. "E.ON Corporate Strategy." Harvard Business School Case 706-015, January 2006. (Revised February 2006.)
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