From dawn to dusk: The relationship between CEO career horizon and ESG engagement

Producción Científica

Bibliographic Details
Authors: Cabreros González, David, Fuente Herrero, Gabriel de la, Velasco González, María Del Pilar
Format: article
Status:Published version
Publication Date:2024
Country:España
Institution:Universidad de Valladolid
Repository:UVaDOC. Repositorio Documental de la Universidad de Valladolid
OAI Identifier:oai:uvadoc.uva.es:10324/69821
Online Access:https://doi.org/10.1016/j.irfa.2024.103200
https://uvadoc.uva.es/handle/10324/69821
Access Level:Open access
Keyword:ESG
Prospect theory
CEO career horizon
Decision framing
53 Ciencias Económicas
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oai_identifier_str oai:uvadoc.uva.es:10324/69821
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repository_id_str
spelling From dawn to dusk: The relationship between CEO career horizon and ESG engagementCabreros González, DavidFuente Herrero, Gabriel de laVelasco González, María Del PilarESGProspect theoryCEO career horizonDecision framing53 Ciencias EconómicasProducción CientíficaThis study investigates the influence of a CEO's career horizon on a firm's engagement in ESG. Given the private benefits which CEOs can extract from this strategy, we argue that a firm's willingness to pursue additional ESG efforts is likely to mirror CEOs' desire to strengthen their personal reputation and curb their perceived risk exposure at each stage of their career horizon. Drawing on the prospect theory, we theorize the decomposition of CEOs' career horizon into two counteracting forces (career concerns and legacy concerns) to explain how a CEO's effort in ESG could change depending on the length of the horizon and the influence of a reference point, such as their firm's performance relative to the industry benchmark. Using a sample of European listed companies from 2007 to 2018, our evidence supports an inverted U-shaped relationship between CEO career horizon and a firm's ESG engagement. This result shows the importance of a CEO's eagerness for personal reputation as a key antecedent of companies' ESG actions. However, a CEO's perceived risk exposure proves not to be a relevant driver of ESG, since we find that such a relationship is not sensitive to decision framing based on relative performance.Ministerio de Ciencia, Innovación y Universidades (PID2020-114797GB-I00)Grupo de Investigación Reconocido (GIR) en Finanzas y ContabilidadElsevier2024info:eu-repo/semantics/articleinfo:eu-repo/semantics/publishedVersionapplication/pdfhttps://doi.org/10.1016/j.irfa.2024.103200https://uvadoc.uva.es/handle/10324/69821reponame:UVaDOC. Repositorio Documental de la Universidad de Valladolidinstname:Universidad de ValladolidIngléshttps://www.sciencedirect.com/science/article/pii/S1057521924001327info:eu-repo/semantics/openAccesshttp://creativecommons.org/licenses/by-nc-nd/4.0/oai:uvadoc.uva.es:10324/698212026-06-13T12:44:47Z
dc.title.none.fl_str_mv From dawn to dusk: The relationship between CEO career horizon and ESG engagement
title From dawn to dusk: The relationship between CEO career horizon and ESG engagement
spellingShingle From dawn to dusk: The relationship between CEO career horizon and ESG engagement
Cabreros González, David
ESG
Prospect theory
CEO career horizon
Decision framing
53 Ciencias Económicas
title_short From dawn to dusk: The relationship between CEO career horizon and ESG engagement
title_full From dawn to dusk: The relationship between CEO career horizon and ESG engagement
title_fullStr From dawn to dusk: The relationship between CEO career horizon and ESG engagement
title_full_unstemmed From dawn to dusk: The relationship between CEO career horizon and ESG engagement
title_sort From dawn to dusk: The relationship between CEO career horizon and ESG engagement
dc.creator.none.fl_str_mv Cabreros González, David
Fuente Herrero, Gabriel de la
Velasco González, María Del Pilar
author Cabreros González, David
author_facet Cabreros González, David
Fuente Herrero, Gabriel de la
Velasco González, María Del Pilar
author_role author
author2 Fuente Herrero, Gabriel de la
Velasco González, María Del Pilar
author2_role author
author
dc.subject.none.fl_str_mv ESG
Prospect theory
CEO career horizon
Decision framing
53 Ciencias Económicas
topic ESG
Prospect theory
CEO career horizon
Decision framing
53 Ciencias Económicas
description Producción Científica
publishDate 2024
dc.date.none.fl_str_mv 2024
dc.type.none.fl_str_mv info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
format article
status_str publishedVersion
dc.identifier.none.fl_str_mv https://doi.org/10.1016/j.irfa.2024.103200
https://uvadoc.uva.es/handle/10324/69821
url https://doi.org/10.1016/j.irfa.2024.103200
https://uvadoc.uva.es/handle/10324/69821
dc.language.none.fl_str_mv Inglés
language_invalid_str_mv Inglés
dc.relation.none.fl_str_mv https://www.sciencedirect.com/science/article/pii/S1057521924001327
dc.rights.none.fl_str_mv info:eu-repo/semantics/openAccess
http://creativecommons.org/licenses/by-nc-nd/4.0/
eu_rights_str_mv openAccess
rights_invalid_str_mv http://creativecommons.org/licenses/by-nc-nd/4.0/
dc.format.none.fl_str_mv application/pdf
dc.publisher.none.fl_str_mv Elsevier
publisher.none.fl_str_mv Elsevier
dc.source.none.fl_str_mv reponame:UVaDOC. Repositorio Documental de la Universidad de Valladolid
instname:Universidad de Valladolid
instname_str Universidad de Valladolid
reponame_str UVaDOC. Repositorio Documental de la Universidad de Valladolid
collection UVaDOC. Repositorio Documental de la Universidad de Valladolid
repository.name.fl_str_mv
repository.mail.fl_str_mv
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score 15,812429

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