Social Determinants of Success: Social Media, Corporate Governance and Revenue

Jordi Paniagua (), Rafael Rivelles and Juan Sapena
Additional contact information
Rafael Rivelles: Faculty of Economics and Business Administration, Catholic University of Valencia, Calle Corona 34, 46003 Valencia, Spain
Juan Sapena: Faculty of Economics and Business Administration, Catholic University of Valencia, Calle Corona 34, 46003 Valencia, Spain

Sustainability, 2019, vol. 11, issue 19, 1-17

Abstract: This study examined how social media (Twitter and LinkedIn) relates to the operating revenue by investigating the effect of the use of social media by the board of directors. To tackle this question, we analyzed the mediating and moderating relationship of social media on the effect of board size in operating revenue (turnover). We studied the implications of the use of social media by the board members by using structural equation modeling (SEM). The data consisted of a random sample of 100 companies listed on the NASDAQ. The study makes two main contributions. First, it shows interesting differences in the use of social media for the operating revenue. Our results suggest that while Twitter mediated and inhibited the negative effect of board size on revenue, LinkedIn moderated and re-enforced this effect. Second, it offers marketers and managers some useful hints about the relationship between social media and financial performance.

Keywords: social media; Twitter; turnover; corporate government; board of directors; board members (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
https://www.mdpi.com/2071-1050/11/19/5164/pdf (application/pdf)
https://www.mdpi.com/2071-1050/11/19/5164/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:11:y:2019:i:19:p:5164-:d:269181

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().