TY - JOUR
T1 - When Not One of the Crowd
T2 - The Effects of CEO Ideological Divergence on Lobbying Strategy
AU - Nalick, Michael
AU - Kuban, Scott
AU - Ridge, Jason W.
AU - Zardkoohi, Asghar
AU - Bierman, Leonard
AU - Schijven, Mario
N1 - Publisher Copyright:
© The Author(s) 2022.
PY - 2022
Y1 - 2022
N2 - This paper explores the extent to which CEO ideological divergence influences firm lobbying strategy. Because a CEO’s political ideological disposition is shown to affect firm outcomes, we theorize there are nonmarket strategic implications when the governing party is divergent or convergent from their ideology. Accordingly, we integrate insights from organizational fit literature regarding value congruence and strategic complementarity in order to examine whether CEO political ideological divergence affects lobbying investment and changes the balance between internal and external lobbying activities. Further, we theorize that these outcomes are less pronounced for firms that are highly regulated. Our results support our theorizing, therefore, by identifying how CEO ideology interacts with the opposing political ideology. We unpack the ways in which CEO political ideology influences firm political behavior, thus extending research on CEO political ideology and lobbying.
AB - This paper explores the extent to which CEO ideological divergence influences firm lobbying strategy. Because a CEO’s political ideological disposition is shown to affect firm outcomes, we theorize there are nonmarket strategic implications when the governing party is divergent or convergent from their ideology. Accordingly, we integrate insights from organizational fit literature regarding value congruence and strategic complementarity in order to examine whether CEO political ideological divergence affects lobbying investment and changes the balance between internal and external lobbying activities. Further, we theorize that these outcomes are less pronounced for firms that are highly regulated. Our results support our theorizing, therefore, by identifying how CEO ideology interacts with the opposing political ideology. We unpack the ways in which CEO political ideology influences firm political behavior, thus extending research on CEO political ideology and lobbying.
KW - CEO decision-making
KW - business and government/political economy
KW - nonmarket strategies
KW - strategic decision-making
KW - top management teams/upper echelon
UR - http://www.scopus.com/inward/record.url?scp=85124087780&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=85124087780&partnerID=8YFLogxK
U2 - 10.1177/01492063211073690
DO - 10.1177/01492063211073690
M3 - Article
AN - SCOPUS:85124087780
JO - Journal of Management
JF - Journal of Management
SN - 0149-2063
ER -