Gómez-Mejía, Luis R

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  How "Family First" Works Out for All Shareholders

Martin, Geoffrey; Gómez-Mejía, Luis R.; Berrone, Pascual; Makri, Marianna Family firms tend to get a bad rap from non-family shareholders. Many pro-family decisions are thought to run against minority shareholders' interests, creating contentious boards. But research co-authored by IESE's Pascual Berrone paints a different picture, one in which "family-first" often means pursuing long-term goals that benefit all. Read article

  A New Variable to Consider for Family Firms

Berrone, Pascual; Duran, Patricio; Gómez-Mejía, Luis R.; Heugens, Pursey; van Essen, Marc Around the globe, family firms tend to be more conservative and take a longer view. New research by IESE's Pascual Berrone and co-authors doesn't disagree, but puts this behavior and strategy in context. Specifically, they develop a new variable to measure a country's "family-legitimizing environment" (FLE), which then helps predict family firms' prevalence, strategy and profitability. Read article

  Necessity as the Mother of "Green" Inventions

Berrone, Pascual; Fosfuri, Andrea; Gelabert, Liliana; Gómez-Mejía, Luis R. The role of companies in tackling today's environmental challenges cannot be understated. Their ability to innovate and develop "green" strategies is of utmost importance to the global agenda. IESE's Pascual Berrone and an international team of professors explore the impact of regulatory and normative pressures on the emergence of solutions to reduce environmental harm. Read article

  The Dark Side of Stakeholder Management

Cennamo, Carmelo; Berrone, Pascual; Gómez-Mejía, Luis R. Bernie Madoff, Lee Kun Hee and, less recently, WorldCom, Parmalat and Enron. In the wake of all this white-collar crime, people are calling for corporate social action. A Stakeholder Management approach could be the answer. But when a CEO is juggling everyone from employees to charities, the water surrounding their actions and results becomes murky. In “Does Stakeholder Management Have a Dark Side,” Carmelo Cennamo, Pascual Berrone and Luis R. Gomez-Mejia take a look at how managers could use causal ambiguity for their own ends. Read article

  CEO: Greater the Risk, Bigger the Payoff

Berrone, Pascual; Makri, Marianna; Gómez-Mejía, Luis R. Few people like to hear that CEO paychecks increased sixfold between 1980 and 2003, but even fewer have a comprehensive perspective regarding how external factors affect these salaries. By focusing on technology companies in North America, IESE Prof. Pascual Berrone outlines a number of key issues that help explain how executives in tech firms can justify their six figures.
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  How Institutional Forces Are Saving the Planet

Berrone, Pascual; Gelabert, Liliana; Fosfuri, Andrea; Gómez-Mejía, Luis R. Many industries pollute even as the growing green movement pushes for innovative ways to curb contamination. The paper "Can Institutional Forces Create Competitive Advantage?" looks at 340 polluting, publicly traded companies in the U.S. and finds that when regulatory bodies and industry forces take a stand on environmental concerns, they ultimately spawn innovative responses in companies. In turn, environmental innovations satisfy the demands of stakeholders and grant legitimacy to a company. It seems that institutional forces can create competitive advantage - and help save the planet in the process. Read article
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