2002

Vicious cycle of guilt

The Economist argues that in making ‘ethical practices’ and ‘social responsibility’ prominent, corporates create a vicious cycle of guilt-until-proven-innocent. I agree with that part. But I wonder if the incentives in companies are aligned to benefit all stakeholders. Sure, in the long-run, everything is factored into the stock price. But the short (not even the medium) run is what managers need worry about, given the dynamic job market.

Vicious cycle of guilt Read More »