Fei Li, Chris K. Y. Lo, Christopher S Tang, Paul Zhou
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引用次数: 0
Abstract
Despite an increasing emphasis on diversity, equity, and inclusion (DEI), there is a noticeable gap in empirical research concerning its implications, particularly within the manufacturing sector. In response, we scrutinize the impact of DEI commitment on publicly traded manufacturing corporations through the lens of signaling theory. We employ an event study methodology and use structural topic modeling to analyze 233 DEI-commitment announcements issued by 161 firms over a 10-year period between 2013 and 2022. Our findings suggest that DEI-commitment announcements can yield positive abnormal stock returns during the announcement period (from day −1 to 0 and from day −1 to 5). The impact is heightened when the announcement places a stronger emphasis on DEI than non-DEI topics and when it focuses on specific DEI-related subjects, which are referred to here as signal strength and signal specificity. We also discuss the managerial implications of our findings.
期刊介绍:
The mission of Production and Operations Management is to serve as the flagship research journal in operations management in manufacturing and services. The journal publishes scientific research into the problems, interest, and concerns of managers who manage product and process design, operations, and supply chains. It covers all topics in product and process design, operations, and supply chain management and welcomes papers using any research paradigm.