Will social networks always work in mitigating courtesy stigma?

Bao, Fenghua; Tian, Longwei; Li, Peter Ping

doi:10.5465/ambpp.2018.13747abstract

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2022

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“…Wiesenfeld et al (2008) suggested that the measurement of the magnitude of stigmatization should take authority settlements into account. To gauge the severity of financial misconduct, we used CSRC fines (Bao, Tian, & Li, 2018). Firms that commit financial misconduct, in some sense, are criminals that violated laws for the purpose of illegal economic benefit.…”

Section: Methodsmentioning

confidence: 99%

Not All Types of Social Networks Are Good: The Dual Effects of Social Networks on Courtesy Stigma

Tian

Xie

et al. 2022

Manag. Organ. Rev.

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When a firm is accused of serious misconduct, its executives, even those who are nonculpable, are stigmatized by the firm's stakeholders, a phenomenon known as courtesy stigma. One research stream explores how executives’ social networks mitigate courtesy stigma, with an emphasis on the positive effect of social networks. From the perspective of a social network as an information pipe, we suggest that social networks are a double-edged sword in the context of courtesy stigma because of their distinctive insulation and exposure mechanisms. Our proposed hypotheses are supported via event history analysis using data collected from a Chinese sample of listed firms that demonstrated financial misconduct in the period 2007–2016. Our study contributes to the literature on social networks and courtesy stigma by revealing their complex links.

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Section: Methodsmentioning

confidence: 99%