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New research on relationships from Harvard Business School faculty on issues including business-community relationships, business-shareholder relationships, manager-employee relationships and personal networks.
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Nestlé’s KitKat Diplomacy: Neutrality vs. Shared Value

Re: Geoffrey G. Jones

In February 2022, Russia invaded Ukraine, and multinational companies began pulling out of Russia, in response. At Switzerland-based Nestlé, chief executive Mark Schneider had a difficult decision to make. Nestlé had a long tradition of neutrality that enabled it to operate in countries regardless of their political systems and human rights policies. But more recently the company had embraced Michael Porter’s “shared value” paradigm, which argues that companies have a responsibility to improve the business community and the health of their communities. What should Schneider do? Professor Geoffrey Jones discusses the viability of the shared value concept and the social responsibility of transnational corporations today in the case, “Nestlé, Shared Value and Kit Kat Diplomacy.”

Planning the Future for Harlem’s Beloved Sylvia’s Restaurant

Re: Christina R. Wing

Sylvia’s Restaurant, which celebrated its 60th anniversary in August 2022, is a testament to the values instilled by the matriarch Sylvia Woods. She cultivated a strong community around her soul food restaurant in New York City’s Harlem neighborhood that has continued to thrive, even after her passing a decade ago. Amid business expansions and succession planning, the legacy of Sylvia Woods continues to live on. But as Sylvia’s grandson takes over the business, a new challenge faces him and his family: what should the next 60 years of Sylvia’s look like? Senior Lecturer Christina Wing and Kenneth De'Sean Woods, chief executive officer of Sylvia Woods Inc., discuss the case, “Sixty Years of Sylvia’s.”

Cofounder Courtship: How to Find the Right Mate—for Your Startup

by Julia Austin

Like any other long-term partnership, choosing the right cofounder is a complicated decision with big implications for a venture. Julia Austin offers practical advice for entrepreneurs who are searching for "the one."

Looking For a Job? Some LinkedIn Connections Matter More Than Others

by Michael Blanding

Debating whether to connect on LinkedIn with that more senior executive you met at that conference? You should, says new research about professional networks by Iavor Bojinov and colleagues. That person just might help you land your next job.

Extroverts, Your Colleagues Wish You Would Just Shut Up and Listen

by Pamela Reynolds

Extroverts may be the life of the party, but at work, they're often viewed as phony and self-centered, says research by Julian Zlatev and colleagues. Here's how extroverts can show others that they're listening, without muting themselves.

How Teams Work: Lessons from the Pandemic

by Kristen Senz

How will COVID-19 change collaboration? Leslie Perlow and Ashley Whillans explore the tactics that helped and hindered newly remote teams in 2020. Open for comment; 0 Comments.

Can Being the ‘Token’ Give Women and Minorities a Competitive Edge?

by Danielle Kost

Underrepresented professionals are more likely to choose predominantly male or white workgroups if it helps their ideas stand out, according to research by Edward H. Chang and colleagues. Open for comment; 0 Comments.

State and Local Government Employment in the COVID-19 Crisis

by Daniel Green and Erik Loualiche

The COVID-19 crisis has had large impacts on local economies and government budgets. Balanced budget requirements, not mis-management, have generated a fiscal crisis and forced state and local governments to reduce service provision precisely when it is in greatest demand.

This Crisis Loan Program Preserved Jobs—and Made Money

by Rachel Layne

Following the 2008 financial crisis, France offered a business loan program that helped firms, employees, and even the government, says Boris Vallee. Open for comment; 0 Comments.

Businesses Need a 'Catalyst' to Make CSR Practices Stick

by Michael Blanding

Despite best intentions, many corporate social responsibility programs fail. One answer: Companies need community partners to sustain work over the long term, says Robert Kaplan. Open for comment; 0 Comments.

Shareholder Activism and Firms’ Voluntary Disclosure of Climate Change Risks

by Caroline Flammer, Michael W. Toffel, and Kala Viswanathan

Shareholder resolutions typically fail, and often by a wide margin. So why do active investors bother? It turns out that resolutions nonetheless can influence corporate transparency. Specifically, after being targeted with shareholder resolutions on environmental topics, this research shows that companies are more likely to publicly disclose their climate change risks—and that such disclosure increases these companies’ valuation.

Should Non-Compete Clauses Be Abolished?

by James Heskett

SUMMING UP: Non-compete clauses need to be rewritten, especially when they are applied to lower-income workers, respond James Heskett's readers. Open for comment; 0 Comments.

How a New Leader Broke Through a Culture of Accuse, Blame, and Criticize

Re: Amy C. Edmondson

Children’s Hospital & Clinics COO Julie Morath sets out to change the culture by instituting a policy of blameless reporting, which encourages employees to report anything that goes wrong or seems substandard, without fear of reprisal. Professor Amy Edmondson discusses getting an organization into the “High Performance Zone.” Open for comment; 0 Comments.

Big Infrastructure May Not Always Produce Big Benefits

by Martha Lagace

Government spending on bridges, roads, and other infrastructure pieces does not always ignite economic good times, say William Kerr and Ramana Nanda. The key question: Are financiers nearby? Open for comment; 0 Comments.

Rituals Strengthen Couples. Here’s Why They’re Good for Business, Too

by Dina Gerdeman

Couples with deliberate rituals feel more satisfied with their relationships, says research by Michael I. Norton and Ximena Garcia-Rada. Can businesses benefit? Open for comment; 0 Comments.

In the Platform Economy, Upwork Searches for Better Matches in the Cloud

Re: David B. Yoffie

Welcome to the Platform Economy, where business strategists must learn a new form of competition. David Yoffie and Michael Cusumano explain choices facing Upwork, which matches jobs with job hunters in the cloud. Open for comment; 0 Comments.

Political Influence and Merger Antitrust Reviews

by Mihir N. Mehta, Suraj Srinivasan, and Wanli Zhao

This paper uses a large sample of United States mergers between 1998 and 2010 to study how political connections help firms obtain favorable antitrust regulatory outcomes for mergers. Given that antitrust regulators are subject to congressional oversight, the authors predict and find evidence that outcomes systematically favor firms that are constituents of politicians serving on judiciary committees.

Labor Market Shocks and the Demand for Trade Protection: Evidence from Online Surveys

by Rafael Di Tella and Dani Rodrik

This paper provides evidence on the role played by different kinds of labor-market shocks in shaping individuals’ policy preferences. Specifically, it studies how people’s opinions about trade protectionism and compensatory financial transfers change when presented with six different types of shocks, all of which have the same effect on local labor markets.

Voting Trusts and Antitrust: Rethinking the Role of Shareholder Rights and Private Litigation in Public Regulation, 1880s to 1930s

by Naomi R. Lamoreaux and Laura Phillips Sawyer

Historically, judges were reluctant to intervene in corporations’ internal affairs and displayed a particular wariness of shareholders’ derivative suits. By the end of the 19th century, however, they had begun to revise their views and to see shareholders’ private actions as useful checks on economic concentration.

The Changing Landscape of Auditor Litigation and Its Implications for Audit Quality

by Colleen Honigsberg, Shivaram Rajgopal, and Suraj Srinivasan

Data from 1996 to 2016 shows that shareholder litigation against auditors has declined in recent years. Empirical evidence shows that Rule 10b-5, the Securities Act statute used for class action lawsuits, has lost its bite for use against auditors. This decline is driven, at least in part, by the US Supreme Court’s narrowing of liability standards. These findings suggest weakened shareholder protection with profound implications for investors.