The value of corporate culture

Luigi Guiso, Paola Sapienza and Luigi Zingales

Journal of Financial Economics, 2015, vol. 117, issue 1, 60-76

Abstract: We study which dimensions of corporate culture are related to a firm׳s performance and why. We find that proclaimed values appear irrelevant. Yet, when employees perceive top managers as trustworthy and ethical, a firm׳s performance is stronger. We then study how different governance structures impact the ability to sustain integrity as a corporate value. We find that publicly traded firms are less able to sustain it. Traditional measures of corporate governance do not seem to have much of an impact.

Keywords: Corporate culture; Integrity; Going public (search for similar items in EconPapers)
JEL-codes: M14 (search for similar items in EconPapers)
Date: 2015
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Citations: View citations in EconPapers (150)

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Related works:
Working Paper: The Value of Corporate Culture (2013)
Working Paper: The Value of Corporate Culture (2013)
Working Paper: The Value of Corporate Culture (2013)
Chapter: The Value of Corporate Culture (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:jfinec:v:117:y:2015:i:1:p:60-76

DOI: 10.1016/j.jfineco.2014.05.010

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