The Value of Corporate Culture, Journal of Financial Economics
We study which dimensions of corporate culture are related to a firm's performance and why. We find that proclaimed values appear irrelevant. Yet, when employees perceive top managers as trustworthy and ethical, firm's performance is stronger. We then study how different governance structures impact the ability to sustain integrity as a corporate value. We find that publicly traded firms are less able to sustain it. Traditional measures of corporate governance do not seem to have much of an impact.
Paola Sapienza, Luigi Guiso, Luigi Zingales
Sapienza, Paola, Luigi Guiso, and Luigi Zingales. 2015. The Value of Corporate Culture. Journal of Financial Economics.