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Medium: You May Not Hear About Bad Corporate Actions

29 Sep 2020
AOM researchers say that external oversight is failing to monitor companies’ behavior.

Research shows that companies benefit from having a good reputation. But what about when a company is known for doing bad?

Texas McCombs Associate Professor of Management Francisco Polidoro Jr. wanted to find out. Polidoro and his co-authors, McCombs alumni David Chandler, Ph.D. '11, of the University of Colorado Denver, and Wei Yang, Ph.D. '19, of George Mason University, considered 113 examples of major oil spills by 23 oil and gas companies in the U.S. between 1985 and 2016. They discovered that while the impact of a bad reputation can be complex, the media are less likely to cover repeat offenders who are responsible for larger oil spills. Polidoro says coverage of these events is influenced by the need for the news to be new, "resulting in the media ignoring behavior by firms with the worst track record in terms of a specific task, but penalizing those firms that perform relatively better by exposing their errors."

Polidoro recently discussed why, in some cases, companies can benefit from being bad.

In your paper, you differentiate between a company’s character and its capability. What’s the difference?

An organization may engage in activities that turn out to be bad. That’s not necessarily reflective of a deliberate attempt to be bad. We distinguish between a track record in prior oil spills that may be due to the organization failing and eventually causing that oil spill. That’s not to say the company is deliberately ignoring — or deliberately engaged in — activities that cause the oil spill. On the other hand, if the company is systematically being fined for environmental regulations they are not complying with, that’s about an organization’s character.

What else did you learn from this research?

We can’t just rely on external entities to monitor companies’ behavior. This may also be an eye opener for monitors, who can ask themselves whether they should be paying better attention. I don’t know what other news events are competing for their attention at the same time. But that’s definitely something they can ponder


Continue reading the original article at Medium.

Read the original research in Academy of Management Journal.

Also read this AOM Insights summary citing this research.

Learn more about this AOM Scholar and explore the research:

.

Blog Image Top with Categories

Medium: You May Not Hear About Bad Corporate Actions

29 Sep 2020
AOM researchers say that external oversight is failing to monitor companies’ behavior.

Research shows that companies benefit from having a good reputation. But what about when a company is known for doing bad?

Texas McCombs Associate Professor of Management Francisco Polidoro Jr. wanted to find out. Polidoro and his co-authors, McCombs alumni David Chandler, Ph.D. '11, of the University of Colorado Denver, and Wei Yang, Ph.D. '19, of George Mason University, considered 113 examples of major oil spills by 23 oil and gas companies in the U.S. between 1985 and 2016. They discovered that while the impact of a bad reputation can be complex, the media are less likely to cover repeat offenders who are responsible for larger oil spills. Polidoro says coverage of these events is influenced by the need for the news to be new, "resulting in the media ignoring behavior by firms with the worst track record in terms of a specific task, but penalizing those firms that perform relatively better by exposing their errors."

Polidoro recently discussed why, in some cases, companies can benefit from being bad.

In your paper, you differentiate between a company’s character and its capability. What’s the difference?

An organization may engage in activities that turn out to be bad. That’s not necessarily reflective of a deliberate attempt to be bad. We distinguish between a track record in prior oil spills that may be due to the organization failing and eventually causing that oil spill. That’s not to say the company is deliberately ignoring — or deliberately engaged in — activities that cause the oil spill. On the other hand, if the company is systematically being fined for environmental regulations they are not complying with, that’s about an organization’s character.

What else did you learn from this research?

We can’t just rely on external entities to monitor companies’ behavior. This may also be an eye opener for monitors, who can ask themselves whether they should be paying better attention. I don’t know what other news events are competing for their attention at the same time. But that’s definitely something they can ponder


Continue reading the original article at Medium.

Read the original research in Academy of Management Journal.

Also read this AOM Insights summary citing this research.

Learn more about this AOM Scholar and explore the research:

.

Blog Image Right (For Homepage only)

Medium: You May Not Hear About Bad Corporate Actions

29 Sep 2020
AOM researchers say that external oversight is failing to monitor companies’ behavior.

Research shows that companies benefit from having a good reputation. But what about when a company is known for doing bad?

Texas McCombs Associate Professor of Management Francisco Polidoro Jr. wanted to find out. Polidoro and his co-authors, McCombs alumni David Chandler, Ph.D. '11, of the University of Colorado Denver, and Wei Yang, Ph.D. '19, of George Mason University, considered 113 examples of major oil spills by 23 oil and gas companies in the U.S. between 1985 and 2016. They discovered that while the impact of a bad reputation can be complex, the media are less likely to cover repeat offenders who are responsible for larger oil spills. Polidoro says coverage of these events is influenced by the need for the news to be new, "resulting in the media ignoring behavior by firms with the worst track record in terms of a specific task, but penalizing those firms that perform relatively better by exposing their errors."

Polidoro recently discussed why, in some cases, companies can benefit from being bad.

In your paper, you differentiate between a company’s character and its capability. What’s the difference?

An organization may engage in activities that turn out to be bad. That’s not necessarily reflective of a deliberate attempt to be bad. We distinguish between a track record in prior oil spills that may be due to the organization failing and eventually causing that oil spill. That’s not to say the company is deliberately ignoring — or deliberately engaged in — activities that cause the oil spill. On the other hand, if the company is systematically being fined for environmental regulations they are not complying with, that’s about an organization’s character.

What else did you learn from this research?

We can’t just rely on external entities to monitor companies’ behavior. This may also be an eye opener for monitors, who can ask themselves whether they should be paying better attention. I don’t know what other news events are competing for their attention at the same time. But that’s definitely something they can ponder


Continue reading the original article at Medium.

Read the original research in Academy of Management Journal.

Also read this AOM Insights summary citing this research.

Learn more about this AOM Scholar and explore the research:

.

Blog Blocks Horizontal

Medium: You May Not Hear About Bad Corporate Actions

29 Sep 2020
AOM researchers say that external oversight is failing to monitor companies’ behavior.

Research shows that companies benefit from having a good reputation. But what about when a company is known for doing bad?

Texas McCombs Associate Professor of Management Francisco Polidoro Jr. wanted to find out. Polidoro and his co-authors, McCombs alumni David Chandler, Ph.D. '11, of the University of Colorado Denver, and Wei Yang, Ph.D. '19, of George Mason University, considered 113 examples of major oil spills by 23 oil and gas companies in the U.S. between 1985 and 2016. They discovered that while the impact of a bad reputation can be complex, the media are less likely to cover repeat offenders who are responsible for larger oil spills. Polidoro says coverage of these events is influenced by the need for the news to be new, "resulting in the media ignoring behavior by firms with the worst track record in terms of a specific task, but penalizing those firms that perform relatively better by exposing their errors."

Polidoro recently discussed why, in some cases, companies can benefit from being bad.

In your paper, you differentiate between a company’s character and its capability. What’s the difference?

An organization may engage in activities that turn out to be bad. That’s not necessarily reflective of a deliberate attempt to be bad. We distinguish between a track record in prior oil spills that may be due to the organization failing and eventually causing that oil spill. That’s not to say the company is deliberately ignoring — or deliberately engaged in — activities that cause the oil spill. On the other hand, if the company is systematically being fined for environmental regulations they are not complying with, that’s about an organization’s character.

What else did you learn from this research?

We can’t just rely on external entities to monitor companies’ behavior. This may also be an eye opener for monitors, who can ask themselves whether they should be paying better attention. I don’t know what other news events are competing for their attention at the same time. But that’s definitely something they can ponder


Continue reading the original article at Medium.

Read the original research in Academy of Management Journal.

Also read this AOM Insights summary citing this research.

Learn more about this AOM Scholar and explore the research:

.

Blog Blocks Vertical (For Subpage Column)

Medium: You May Not Hear About Bad Corporate Actions

29 Sep 2020
AOM researchers say that external oversight is failing to monitor companies’ behavior.

Research shows that companies benefit from having a good reputation. But what about when a company is known for doing bad?

Texas McCombs Associate Professor of Management Francisco Polidoro Jr. wanted to find out. Polidoro and his co-authors, McCombs alumni David Chandler, Ph.D. '11, of the University of Colorado Denver, and Wei Yang, Ph.D. '19, of George Mason University, considered 113 examples of major oil spills by 23 oil and gas companies in the U.S. between 1985 and 2016. They discovered that while the impact of a bad reputation can be complex, the media are less likely to cover repeat offenders who are responsible for larger oil spills. Polidoro says coverage of these events is influenced by the need for the news to be new, "resulting in the media ignoring behavior by firms with the worst track record in terms of a specific task, but penalizing those firms that perform relatively better by exposing their errors."

Polidoro recently discussed why, in some cases, companies can benefit from being bad.

In your paper, you differentiate between a company’s character and its capability. What’s the difference?

An organization may engage in activities that turn out to be bad. That’s not necessarily reflective of a deliberate attempt to be bad. We distinguish between a track record in prior oil spills that may be due to the organization failing and eventually causing that oil spill. That’s not to say the company is deliberately ignoring — or deliberately engaged in — activities that cause the oil spill. On the other hand, if the company is systematically being fined for environmental regulations they are not complying with, that’s about an organization’s character.

What else did you learn from this research?

We can’t just rely on external entities to monitor companies’ behavior. This may also be an eye opener for monitors, who can ask themselves whether they should be paying better attention. I don’t know what other news events are competing for their attention at the same time. But that’s definitely something they can ponder


Continue reading the original article at Medium.

Read the original research in Academy of Management Journal.

Also read this AOM Insights summary citing this research.

Learn more about this AOM Scholar and explore the research:

.

Event Blocks Vertical (For Subpage Column)

Event Title Lorem Ipsum Dolor Sit Amet, And Gender and Power At Annual Meeting

2:00PM

Melbourne Business School-The University of Melbourne

Melbourne Business School
Carlton VIC

Building Inclusive Agricultural Value Chains.Call for Papers for an Online Seminar Series Oct. 2020

11:45AM

Event Blocks Horizontal

Event Title Lorem Ipsum Dolor Sit Amet, And Gender and Power At Annual Meeting

2:00PM

Melbourne Business School-The University of Melbourne

Melbourne Business School
Carlton VIC

Building Inclusive Agricultural Value Chains.Call for Papers for an Online Seminar Series Oct. 2020

11:45AM

News Blocks Horizontal

News Blocks Vertical (For Subpage Column)

Video Management

Test Video

Mar 6, 2020

Test Video

Kimberly Elsbach - AOM Scholar Interview

Jan 24, 2020

AOM Insights - Women Who Cry at Work Need to Know These Five Things - Crying at work is not always a big problem, researchers have found, but in the wrong situation, it can be a reputation-killer.

Small Numbers Big Concerns: Practices & Organizational Arrangements in Rare Disease Drug Repurposing

Jan 24, 2020

Due to their small market size, many rare diseases lack treatments. While government incentives exist for the development of drugs for rare diseases, these interventions have yielded insufficient progress.

It Takes a Village to Sustain a Village: A Social Identity Perspective

Jan 24, 2020

This paper examines the powerful yet overlooked role of community-based enterprises (CBEs)—enterprises that are collectively established, owned, and controlled by the members of a local community, for which they aim to generate economic, social and/or ecological benefits—in addressing a broad range of problems facing many rural communities around the globe.

The AMD Paper Development Workshop Experience

Aug 5, 2018

These Broadly-based Workshops Create a Better Understanding of How Management Research Is Changing

How Do I Know if My Paper is Right for AMD?

Aug 5, 2018

Things to Consider Before Submitting

What Makes AMD Unique?

Aug 5, 2018

What Makes AMD Unique and Why You Should Publish Your Next "Discovery" With Us

To use the "Featured Video" widget template, which only shows one video and provides the ability to play that video directly, there are special settings that need to be made.  One may think they should choose the only one video item to display. However, doing so will remove the option for a user to click on the video's information to go to the video's detail page to see more information on the video. This is because Sitefinity has built-in functionality where if only one result is selected, it automatically shows the item in the "Detail Template". To work around this we need to force the widget to show the result as a single item list so it uses the "Featured Video" list template.

To work around this, apply a unique category to the video so that the video is the only item with that category applied to it. Set the widget to only show videos by that category. This forces Sitefinity to use a "List Template" instead of a "Detail Template". For good measure, limit results to "1" in the list settings and select the "Featured Video" widget template. See below.

Small Numbers Big Concerns: Practices & Organizational Arrangements in Rare Disease Drug Repurposing

Jan 24, 2020

Due to their small market size, many rare diseases lack treatments. While government incentives exist for the development of drugs for rare diseases, these interventions have yielded insufficient progress.