Trust, Risk, and Shareholder Decision Making: An Investor Perspective on Corporate Governance

Business Ethics Quarterly 11 (1):177-193 (2001)
  Copy   BIBTEX

Abstract

Abstract:Shareholders’ relationship to the firm is a central theme in corporate governance, yet the investors’ perspective has been virtually ignored in governance research. This paper attempts to explain the previously unexplored role of trust in the investor decision-making process. The proposed model suggests that trust acts as the antecedent of the risk variable in existing investor decision-making models. Stock ownership involves both financial and ethical risk, which by definition requires some level of implicit trust in management and the market.

Categories

Keywords

Reprint years

ISBN(s)

1052150X

DOI

10.2307/3857876

Other Versions

No versions found

Links

PhilArchive



    Upload a copy of this work     Papers currently archived: 104,218

External links

Setup an account with your affiliations in order to access resources via your University's proxy server

Through your library

My notes

Similar books and articles

Disclosure Strategies: Corporate Transparency Enactment and Investor Trust.Phd Cynthia Clark Williams - 2005 - Proceedings of the International Association for Business and Society 16:234-239.
Disclosure Strategies.Cynthia Clark Williams - 2005 - Proceedings of the International Association for Business and Society 16:234-239.
What’s important... and for whom The importance of financial, environmental, social, and governance performance for investor decision-making.Peter Kotzian & Ingo Dirkx - 2024 - International Journal of Business Governance and Ethics 1 (1).
Employee Governance and the Ownership of the Firm.John R. Boatright - 2004 - Business Ethics Quarterly 14 (1):1-21.
Business ethics: decision making for personal integrity and social responsibility.Laura Pincus Hartman - 2013 - Dubuque: McGraw-Hill Companies. Edited by Joseph R. DesJardins.
Corporate governance and trust in business: A matter of balance.G. J. Rossouw - 2005 - African Journal of Business Ethics 1 (1):1.
Ethical challenges in corporate-shareholder and investor relations: Using the value exchange model to analyze and respond. [REVIEW]Richard Lee Miller - 1988 - Journal of Business Ethics 7 (1-2):117 - 132.
Models of an individual decision-making process related to ethical issues in business: the risk of framing effects.Virginija Kliukinskaite Vigil - 2009 - International Journal of Business Governance and Ethics 4 (3):264.
Internal corporate governance and personal trust.Deon Rossouw - 2009 - African Journal of Business Ethics 4 (1):37.
An Institutional Investor Models Democratic Governance.[author unknown] - 1999 - Business Ethics: The Magazine of Corporate Responsibility 13 (5-6):29-29.

Analytics

Added to PP
2011-01-09

Downloads
105 (#212,725)

6 months
6 (#701,789)

Historical graph of downloads
How can I increase my downloads?

Citations of this work

Solidarity - Enlightened Leadership.Ignace Haaz - 2016 - In Christoph Stückelberger, Walter Fust & Obiora F. Ike, Global Ethics for Leadership: Values and Virtues for Life. Globethics.net. pp. 163-174.
The case for a thick shareholder concept.Katherina Pattit & Jason Pattit - 2019 - Business and Society Review 124 (4):497-514.

View all 8 citations / Add more citations

References found in this work

Business Ethics and Stakeholder Analysis.Kenneth E. Goodpaster - 1991 - Business Ethics Quarterly 1 (1):53-73.
The Normative Theories of Business Ethics.John Hasnas - 1998 - Business Ethics Quarterly 8 (1):19-42.
Fiduciary Duties and the Shareholder-Management Relation.John R. Boatright - 1994 - Business Ethics Quarterly 4 (4):393-407.
Morals and Markets.Alan Lewis - 1999 - Business Ethics Quarterly 9 (3):439-452.

View all 9 references / Add more references