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• Working Paper | HBS Working Paper Series | 2019

  Corporate Purpose and Firm Ownership

  Claudine Gartenberg and George Serafeim

  Analyzing data from approximately 1.5 million employees across 1,100 established public and private US companies, we find that the strength of employee beliefs about their firm’s purpose is lower in public companies. This difference is most pronounced within the salaried middle and hourly ranks, rather than senior executives. Among public companies, purpose becomes progressively lower with more concentrated shareholders, especially among firms with high hedge fund ownership. These patterns can be partly explained by differences in CEO backgrounds and compensation: public firms, particularly those with strong shareholders, choose outsider CEOs at higher rates and pay them more relative to their employees. Our analyses suggest that these results are not driven solely by sorting effects, but appear attributable in part to the impact that firm owners have on their employees. In summary, shareholders appear to influence the strength of corporate purpose deep within organizations via the leadership and corporate practices they enable at the top.

  Keywords: purpose; corporate purpose; culture; corporate culture; ownership; public and private organizations; hedge fund; executive pay; leadership; Executive Compensation;

  Citation:

  Gartenberg, Claudine, and George Serafeim. "Corporate Purpose and Firm Ownership." Harvard Business School Working Paper, No. 20-024, August 2019.  View Details

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• Case | HBS Case Collection | August 2019 (Revised September 2019)

  Dirk Nowitzki: Changing the Game

  Boris Groysberg, Sascha L. Schmidt and Evan M.S. Hecht

  NBA Superstar Dirk Nowitzki was unsure whether the 2018-19 season would be his last as an NBA player. He had not faced such uncertainty since 1998, when he had navigated a difficult decision regarding the timing of his move to the NBA. He also did not know what he would do when he ultimately retired, as playing basketball was all he had known for his entire adult life. His foundation in Dallas and in Germany provided grant money and strategic support to youth programs; he could become more directly involved in the foundation’s work. The Dallas Mavericks had made it clear that they would be open to Nowitzki transitioning to a role as some type of executive or coach, helping the Mavericks make decisions and/or develop their young players. Nowitzki was also intrigued by the idea of becoming an independent mentor for young, amateur players; after all, his mentor, Holger Geschwindner, had been instrumental in his development, and he liked working with young people. Keeping his various options in mind, how should Nowitzki plan for the next phase of his life and career?

  Keywords: Career Decisions; career journey; ＂sports organizations,; mentoring; Retirement; Sports; Performance; Training; Personal Development and Career; Sports Industry; United States;

  Citation:

  Groysberg, Boris, Sascha L. Schmidt, and Evan M.S. Hecht. "Dirk Nowitzki: Changing the Game." Harvard Business School Case 420-031, August 2019. (Revised September 2019.)  View Details

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• Case | HBS Case Collection | April 2019 (Revised July 2019)

  Sanjeev Kapoor: The Recipe for Success

  Boris Groysberg and Mahima Rao-Kachroo

  India's most recognized celebrity chef Sanjeev Kapoor has been an integral part of the country's food industry since 1993. As a celebrity chef, Kapoor enjoyed a 17-year run of his hit TV cooking show “Khana Khazana,” published more than 100 cookbook titles in multiple languages and endorsed a variety of brands. Kapoor later turned entrepreneur when he established a restaurant company that has partnered with more than 60 restaurant franchisees worldwide and launched his own TV channel—FoodFood. Although Kapoor has multiple businesses, he continues to find more exciting growth opportunities coming his way.

  Keywords: Brands and Branding; Management; Success; Food; Food and Beverage Industry; India;

  Citation:

  Groysberg, Boris, and Mahima Rao-Kachroo. "Sanjeev Kapoor: The Recipe for Success." Harvard Business School Case 419-076, April 2019. (Revised July 2019.)  View Details

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