Topic：COOKING THE BOOKS OR SLEEPING AROUND?EXECUTIVE SOCIAL CAPITAL IN THE WAKE OF A SCANDAL

Time: 15:30~17:00, June 20, 2019 (Thursday)

Venue: Conference Room 1620, Rear Main Building

Speaker: Han Jiang (ph. D.A Rizona State University)

He is an assistant professor at A.B.Freeman School of Business, Tulane University. Research interests: Social networks and social capital, strategic decision-making and corporate governance, entrepreneurship and innovation strategies. His thesis has been published in Strategic Management Journal, Journal of Management, Entrepreneurship: Theory and Practice, and other top academic journals.

Content of the lecture：Scholars have long recognized that executives are often dismissed after scandals. We extend this line of research by exploring the distinct implications of executives' social capital for their dismissal following a scandal. Using firms' financial fraud and executives' personal indiscretion as examples, we highlight that the impact of social capital on dismissal in the wake of a scandal is largely determined by executives' culpability. Based on a sample of public firms in China, our central finding is that while an executive's social  captical can help reduce the likelihood of being dismissed as a scapegoat following financial fraud, it becomes a liability for executives who engage in personal indiscretion, increasing the likelihood that firms will dismiss these compromised executives.