IBS Lunchtime Research Seminar - Right- and Left-Wing Populist Ideologies, Cultural Backlash, and Firm Investment Decisions

You are cordially invited to attend an International Business and Strategy Departmental Research Meeting, during which there will be a presentation by Dr Margherita Corina, NEOMA Business School. A reminder that attendance for IBS (full time, research oriented) staff and full-time students is compulsory, and where possible, must be in person. Individuals unable to attend in person, due to legitimate reasons will be provided a Teams link on request. Non-IBS staff are welcome to attend, but must register prior to the event. If you have not received the email invite please email Angie Clark

Please join us in Room 108, Henley Business School, if you would like to attend, please register using the link below:

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Please make sure you let me know in advance if you intend to attend in person so that the correct amount of catering is booked.

Date: Wednesday 12th February 2025, HBS Room 108

Time: 13.00 - 14.15pm

Abstract

Populism is often known as a thin-centered ideology, where leaders claim to represent ordinary people against elites. We study how firms respond to the ideology of populist rulers. While existing management literature frequently attributes the uncertainty faced by firms to the unpredictable and contradictory policies of populist leaders, we argue that their ideological stances are critical drivers in shaping corporate decision-making, particularly when multiple ideological dimensions overlap. By extending transaction cost economics to the populist context, our findings indicate that traditional left-right political divisions are becoming less relevant for corporate investment decisions. Instead, a new and more destabilizing divide has emerged: nationalist-conservative versus cosmopolitan-progressive values. Populist leaders with nationalist-conservative views intensify negative impacts on corporate investment, while those with progressive-cosmopolitan leanings tend to moderate it. Moreover, when political and cultural dimensions overlap, left-wing nationalist-conservative populists generate the highest levels of uncertainty for firms. Our study offers both theoretical and empirical contributions by advancing the understanding of populist ideologies and their influence on corporate strategies, an increasingly critical issue in today's politically polarized environments.