Business Commons^™

Shareholder Primacy In The Classroom After The Financial Crisis, David Millon

David K. Millon

No abstract provided.

Foreword, Robert J. Rhee

Robert Rhee

No abstract provided.

The Institutional Entrepreneur As Modern Prince: The Strategic Face Of Power In Contested Fields, David Levy, Maureen A. Scully

Maureen Scully

This paper develops a theoretical framework that situates institutional entrepreneurship by drawing from Gramsci’s concept of hegemony to understand the contingent stabilization of organizational fields, and by employing his discussion of the Modern Prince as the collective agent who organizes and strategizes counter-hegemonic challenges. Our framework makes three contributions. First, we characterize the interlaced material, discursive, and organizational dimensions of field structure. Second, we argue that strategy must be examined more rigorously as the mode of action by which institutional entrepreneurs engage with field structures. Third, we argue that institutional entrepreneurship, in challenging the position of incumbent actors and stable …

Corruption, Democracy And Asia-Pacific Countries, Neil Campbell, Shrabani Saha

Neil Campbell

This paper argues that the relationship between democracy and corruption is nonmonotonic. When a country shifts from autocratic rule to highly imperfect democracy (an ‘electoral democracy’) it is frequently perceived that the level of corruption increases. Conversely, when the democracy level is already relatively high (approaching ‘mature democracy’) an increase in the level of democracy is typically expected to decrease the level of corruption. To assist with our discussion of these issues, before going on to the empirical part of the paper, we look specifically at the case of South Korea to illustrate how corruption responded to an increasing level …

Developing A Reputation For Incorruptibility In A Corrupt Environment, J Kline, Neil Campbell

Neil Campbell

We construct a simple two-stage model of reputation building in a corrupt environment. The existence of incorruptible firms helps corruptible firms establish a reputation for not paying bribes.

Does Weak Intellectual Property Rights Protection Deter Investment In R&D? Evidence From The Tea Industry In China, Neil Campbell, Kainan Huang, Shravan Luckraz

Neil Campbell

In July 2010 representatives of the EU and governments of the US and many other countries met in Switzerland for the ninth round of negotiations for the Anti-Counterfeiting Trade Agreement (ACTA). While the purpose of the ACTA is to establish a voluntary international legal framework (outside the WTO) to promote the enforcement of intellectual property rights (IPR), many developing countries like India and China strongly opposed proposed policies that would strengthen IPR protection.

A More Realistic Approach To Directors' Duties, Michelle M. Harner

Michelle M. Harner

Expectations for what fiduciary duties can achieve in the corporate context are unrealistic. This segment of the law—and the alleged deficiencies therein—are blamed for corporate scandals, securities fraud, failed business plans, and even a company's insolvency. Risk is, however, inherent in business, and human beings are flawed. Fiduciary duty law cannot change these basic facts. To the extent we think it can, we will continue to be disappointed and frustrated. This essay considers recasting (and to a greater extent codifying) directors’ duties in a positive frame to help foster better director oversight. It does not suggest that codifying greater clarity …

Health Care Organization Managers Beware-Understand Your Ethical Constraints, Ashish Chandra, Andrew Sikula Sr.

Andrew Sikula, Sr.

Review of the book Business Ethics in Healthcare: Beyond Compliance.(2001). Leonard J. Weber. Bloomington: Indiana University Press. 196 pp.

Myanmar: Need To Invest Responsibly, Mahdev Mohan, Salil Tripathi, Lan Shiow Tsai

Mahdev Mohan

No abstract provided.

Securing Human Rights In Business, Mahdev Mohan, Delphia Lim

Mahdev Mohan

No abstract provided.

Land Grabs Still Plague Myanmar And Cambodia, Mahdev Mohan, Vani Sathisan

Mahdev Mohan

No abstract provided.

Employee Voluntary Disclosures In Annual Reports: A Stakeholder Perspective, Pamela Kent, Carolyn Windsor, Tamara Zunker

Carolyn Windsor

Purpose The purpose of this study is to examine voluntary employee disclosures in Australian 2004 annual company reports applying Ullmann’s stakeholder theory. Design/methodology/approach A regression analysis of data from 970 ASX companies’ annual reports analysed company disclosures of employee-related information. Ullmann’s first dimension stakeholder power is represented by employee share ownership and large shareholders (block holders). The second dimension, corporate strategic posture is denoted by corporate governance best practices and corporate mission statements. Ullmann’s third dimension, economic performance is represented by profit per employee, debt to equity and Tobin’s Q. Findings We find that employee share ownership does empower employee …

The Bp Gulf Oil Spill: Public And Corporate Governance Failures, Carolyn Windsor, Patty Mcnicholas

Carolyn Windsor

Purpose: To critically examine public and corporate governance failures that we argue predisposed the BP oil spill in the Gulf of Mexico, the worst environmental disaster in United States (US) history. Design/methodology/approach: A critical examination of publicly available documentation to identify systemic governance flaws of a marketized government agency and BP’s self-regulated corporate governance. Findings: The spill was overseen by the US Federal Government agency, Minerals Management Service (MMS). Restructured by the Reagan Administration to mimic business, the MMS regulated and collected revenue from offshore oil leases, a conflict of interest that compromised this public agency’s integrity. Neo-classical economics and …

Voluntary Disclosure Of Ghg Emission Information, Janice Hollindale, Pamela Kent, Carolyn Windsor

Carolyn Windsor

Purpose The purpose of this paper is to determine the nature of Australian public companies’ voluntary environmental management disclosures for companies making disclosures about their greenhouse gas emission performance and management in the year before and the year after the introduction of Australia’s National Greenhouse and Energy Reporting legislation, and to empirically test the hypothesized influence of several company characteristics on the quality of these disclosures. Design/methodology/approach The content of GHG performance and management disclosures made in annual reports and stand-alone sustainability reports of 1,766 (1,853) publicly listed Australian companies in 2007 (2009) is determined using an index of quality …

Csr Responsibility Or Opportunity? (2013), David Cooke

David Cooke

Corporate / not-for-profit partnerships are changing to reflect the return on investment and benefits for the corporation when engaging in these partnerships.

Determinants Of Voluntary Board Remuneration Committee Formation And Composition, Pamela Kent, Kim Kercher, James Routledge

Pamela Kent

This study provides evidence on factors that determine the voluntary adoption of corporate governance recommendations regarding remuneration committees in 2008. The findings indicate that remuneration committee existence is significantly associated with insider share ownership, institutional shareholding and change in CEO. Composition of the committee is significantly explained by independent directors and complexity measured by geographical segments (marginally). Other variables controlled for are growth opportunities, free cash flow, asset turnover, size, governance quality, debt levels, age and the presence of a big four auditor.

Accounting For Ethics In Action: Problems With Localised Constructions Of Legitimacy, Stewart R. Clegg, Ray Gordon

Ray Gordon

Socially constituted systems of order emanate from tacit interaction. While they are reflected in an organization’s culture, they do not necessarily align with the organization’s authorised rules and codes of conduct. Such misalignment renders legitimacy in organizations problematic. The paper explores the relation between power and legitimacy by showing how such systems of order recursively establish, and are established by, forms of legitimacy that may not be formalised. Empirically, such forms of legitimacy thwarted a police organization’s attempt to reform. Theoretically, an understanding of organizational change is connected to the relationship between power and legitimacy. The paper provides insights into …

Tackling Undeclared Work In Croatia, Colin C. Williams, Marijana Baric, Piet Renooy

Colin C Williams

No abstract provided.

The Shadow Economy, Colin C. Williams, Friedrich Schneider

Colin C Williams

No abstract provided.

Tackling Undeclared Work In Turkey, Colin C. Williams, Marijana Baric, Piet Renooy

Colin C Williams

No abstract provided.

Professional Integrity In Higher Education: Behind The Green Curtain In The Land Of Oz, Gordon A. Crews, Angela D. Crews

Gordon A Crews

This article discusses concerns related to professional integrity in academics and to the use of collegiality as an informal criterion for employment and evaluation decisions. We question the nature of the educational enterprise and the academic environment within which both students and faculty operate. We use the AAUP Statement on Professional Ethics to guide our examination of collegiality, and the three traditional areas of faculty evaluation (teaching, scholarship, and service), as they relate to professional integrity. We discuss potential pitfalls in situations involving integrity concerns, and suggest that the use of collegiality in professional decisions is more prevalent and potentially …

Professional Integrity In Higher Education: Behind The Green Curtain In The Land Of Oz, Gordon A. Crews, Angela D. Crews

Angela Crews

This article discusses concerns related to professional integrity in academics and to the use of collegiality as an informal criterion for employment and evaluation decisions. We question the nature of the educational enterprise and the academic environment within which both students and faculty operate. We use the AAUP Statement on Professional Ethics to guide our examination of collegiality, and the three traditional areas of faculty evaluation (teaching, scholarship, and service), as they relate to professional integrity. We discuss potential pitfalls in situations involving integrity concerns, and suggest that the use of collegiality in professional decisions is more prevalent and potentially …

Teaching Business Law Through An Entrepreneurial Lens, Michelle M. Harner

Michelle M. Harner

The legal market has changed. Although change creates uncertainty and fear, it also can create opportunity. This essay explores the opportunity for innovation in the business law curriculum, and the role of simulation to help create more practice-aware new lawyers.

The Tort Foundation Of Duty Of Care And Business Judgment, Robert J. Rhee

Robert Rhee

This Article corrects a misconception in corporation law – the belief that principles of tort law do not apply to the liability scheme of fiduciary duty. A board’s duty of care implies exposure to liability, but the business judgment rule precludes it. Tort law finds fault; corporation law excuses it. The conventional wisdom says that the tort analogy fails. This dismissal of tort prinicples is wrong. Although shareholder derivative suits and ordinary tort cases properly yield systemically antipodal outcomes, they are bound by a common analytical framework. The principles of board liability are rooted in tort doctrines governing duty, customs, …

Global Culture Concerns, Korcel M. Price

Korcel M Price

The following proposal seeks to change hiring, promoting, and firing practices among global and trans-national companies. The changes are intended to fortify the organization through better management, a better employee contract, and by moving closer to a learning organization.

At the heart of the proposal is the desire to move hiring, promoting, and firing practices to an external or internal third party, as means of creating a global culture that consistently applies the values of supra system’s organization.

Ethics In A Time Of Crisis: Editorial Introduction To Special Focus, Stefano Harney, C Jones

Stephen Matthias Harney

The financial crisis that has swept the globe since 2008 still rumbles on. Not only has it precipitated a sovereign debt crisis in Europe, and threatened growth rates and political stability in India and China, but also the liquidity of many banks is still a matter of debate. Despite the refuge that capital has taken in assets other than finance, worries remain that the basic financial machine may again freeze up in a renewed bout of crisis. The alternative to ever-increasing waves of crisis hardly looks more appealing, however. Ordinary people from Britain to Greece, Spain to California, face years …

Public Intervention In Business Ethics: A Auto-Case Study, Rowland Curtis, Stefano Harney, Campbell Jones

Stephen Matthias Harney

No abstract provided.

Building Responsible Management Education In Vietnam, Stephen Matthias Harney

Stephen Matthias Harney

No abstract provided.

Cinco Desafíos Para El Gobierno Corporativo De Las Organizaciones Sin Fines De Lucro, Alfredo Enrione

Alfredo Enrione

No abstract provided.

Facilitating Successful Failures, Michelle M. Harner, Jamie Marincic Griffin

Michelle M. Harner

Approximately 80,000 businesses fail each year in the United States. This article presents an original empirical study of over 400 business restructuring professionals focused on a critical, arguably contributing factor to these failures—the conduct of boards of directors and management. Anecdotal evidence suggests that management of distressed companies often bury their heads in the sand until it is too late to remedy the companies’ problems, a phenomenon commonly called “ostrich syndrome.” The data confirm this behavior, show a prevalent use of loss framing, and suggest trends consistent with prospect theory. The article draws on these data and behavioral economics to …