CEO Activism and Firm Value

被引：5
|
作者：
Mkrtchyan, Anahit [1 ]
Sandvik, Jason [2 ]
Zhu, Vivi Z. [2 ,3 ]
机构：
[1] Univ Massachusetts Amherst, Isenberg Sch Management, Amherst, MA 01003 USA
[2] Univ Arizona, Eller Coll Management, Tucson, AZ 85721 USA
[3] Southern Methodist Univ, Cox Sch Business, Dallas, TX 75275 USA
来源：
MANAGEMENT SCIENCE | 2023年
关键词：
CEO activism; firm value; institutional investors; CORPORATE POLITICAL ACTIVITY; INSTITUTIONAL INVESTORS;
D O I：
10.1287/mnsc.2023.4971
中图分类号：
C93 [管理学];
学科分类号：
12 ; 1201 ; 1202 ; 120202 ;
摘要：
We investigate the increasingly common practice of chief executive officers (CEOs) taking public stances on social and political issues (CEO activism). We find that CEO activism stems from a CEO's personal ideology and its alignment with investor, employee, and customer ideologies. We show that CEO activism results in positive market reactions. Furthermore, firms with CEO activism realize increased shareholdings from investors with a greater liberal leaning, who rebalance their portfolios toward these firms. Our results suggest that investors' socio-political preferences are an important channel through which CEO activism affects equity demand and stock prices. Notably, CEOs are less likely to be fired when their activist stances generate positive market responses.
引用
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页数：32
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