Person:
Barber, Benjamin

Profile Picture
Email Address
Birth Date
Research Projects
Organizational Units
Job Title
First Name
Benjamin
Last Name
Barber
Affiliation
IE University
School
IE Business School
Department
Strategy
Identifiers
Name

Filters

20241
Reset filters

Settings

Author: Blake, Daniel J. × Has files: true ×

Search Results

Now showing 1 - 1 of 1
  • Thumbnail Image
    Publication
    My kind of people: Political polarization, ideology and firm location
    (John Wiley and Sons Ltd, 2024) Barber, Benjamin; Blake, Daniel J.; Agencia Estatal de Investigación; https://ror.org/02jjdwm75
    Research Summary: With increased political polarization,Americans are displaying more animus across,and affinity within,ideological identity groups. We argue this dynamic incentivizes firms to minimize ideological misalignments across their workforce by locating new establishments in areas that are ideologically proximate to their current operations. We further argue that the desire to minimize ideological distance to new establishments is stronger in knowledge-intensive industries and young organizations. We find support for these arguments through the analysis of over 220,000 new establishment openings from 2009 to 2014. Critically,we find the effect of ideological distance on location is stronger when societal polarization is high. Our theory,and findings,contribute to several literatures and advance our understanding of the impact of polarization on strategy. Managerial Summary: Being a liberal or a conservative is central to many Americans' identity. As political polarization rises,individuals increasingly trust and favor others who share their ideological identity,while distrusting and avoiding those that do not. This study investigates how these societal trends affect where firms choose to locate new facilities. Because social ties and trust across workers support collaboration,resource-sharing and organizational performance,we argue that managers will seek ideological alignment within their firms by locating new establishments in areas that are ideologically proximate to existing operations. Analysis of over 220,000 new establishment openings from 2009 to 2014 supports this contention,and shows that the tendency to avoid ideologically distant locations is stronger when societal polarization is higher. © 2023 The Authors. Strategic Management Journal published by John Wiley & Sons Ltd.