Managerial Myopia and Corporate Sustainable Development Capabilities

Na Feng

doi:doi:10.11648/j.si.20241206.16

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Managerial Myopia and Corporate Sustainable Development Capabilities

Na Feng^*

Published in Science Innovation (Volume 12, Issue 6)

Received: 18 October 2024 Accepted: 9 November 2024 Published: 21 November 2024

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Abstract

Currently, the economy of China is demonstrating positive momentum. However, it also faces pressures stemming from structural adjustments and changes in the external environment. Ensuring sustainable development at the corporate level is crucial for maintaining overall economic stability and sustained growth within the nation. This paper utilizes A-share listed companies from 2007 to 2022 as a research sample and employs methods such as text analysis to measure managerial myopia, thereby investigating the relationship between managerial myopia and corporate sustainable development capabilities. The study finds a significant negative correlation between managerial myopia and corporate sustainable development capabilities, with the level of financialization of the corporate playing a mediating role: managerial myopia can lead to an increase in the level of financialization of the corporate, thereby weakening corporate sustainable development capabilities. Furthermore, internal controls and managerial incentive pay weaken the negative relationship between managerial myopia and corporate sustainable development capabilities. This paper also analyzes the degree to which managerial myopia weakens the sustainable development capabilities of enterprises with different property rights and different institutional investor shareholding ratios. It is found the detrimental impact of managerial myopia on the sustainable development capabilities of state-owned enterprises and corporate with lower institutional investor shareholding is more pronounced.

Published in	Science Innovation (Volume 12, Issue 6)
DOI	10.11648/j.si.20241206.16
Page(s)	119-124
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

Managerial Myopia, Internal Controls, Managerial Incentive Pay, Financialization, Corporate Sustainable Development Capabilities

References

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APA Style

Feng, N. (2024). Managerial Myopia and Corporate Sustainable Development Capabilities. Science Innovation, 12(6), 119-124. https://doi.org/10.11648/j.si.20241206.16

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ACS Style

Feng, N. Managerial Myopia and Corporate Sustainable Development Capabilities. Sci. Innov. 2024, 12(6), 119-124. doi: 10.11648/j.si.20241206.16

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AMA Style

Feng N. Managerial Myopia and Corporate Sustainable Development Capabilities. Sci Innov. 2024;12(6):119-124. doi: 10.11648/j.si.20241206.16

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@article{10.11648/j.si.20241206.16,
  author = {Na Feng},
  title = {Managerial Myopia and Corporate Sustainable Development Capabilities
},
  journal = {Science Innovation},
  volume = {12},
  number = {6},
  pages = {119-124},
  doi = {10.11648/j.si.20241206.16},
  url = {https://doi.org/10.11648/j.si.20241206.16},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.si.20241206.16},
  abstract = {Currently, the economy of China is demonstrating positive momentum. However, it also faces pressures stemming from structural adjustments and changes in the external environment. Ensuring sustainable development at the corporate level is crucial for maintaining overall economic stability and sustained growth within the nation. This paper utilizes A-share listed companies from 2007 to 2022 as a research sample and employs methods such as text analysis to measure managerial myopia, thereby investigating the relationship between managerial myopia and corporate sustainable development capabilities. The study finds a significant negative correlation between managerial myopia and corporate sustainable development capabilities, with the level of financialization of the corporate playing a mediating role: managerial myopia can lead to an increase in the level of financialization of the corporate, thereby weakening corporate sustainable development capabilities. Furthermore, internal controls and managerial incentive pay weaken the negative relationship between managerial myopia and corporate sustainable development capabilities. This paper also analyzes the degree to which managerial myopia weakens the sustainable development capabilities of enterprises with different property rights and different institutional investor shareholding ratios. It is found the detrimental impact of managerial myopia on the sustainable development capabilities of state-owned enterprises and corporate with lower institutional investor shareholding is more pronounced.
},
 year = {2024}
}

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TY  - JOUR
T1  - Managerial Myopia and Corporate Sustainable Development Capabilities

AU  - Na Feng
Y1  - 2024/11/21
PY  - 2024
N1  - https://doi.org/10.11648/j.si.20241206.16
DO  - 10.11648/j.si.20241206.16
T2  - Science Innovation
JF  - Science Innovation
JO  - Science Innovation
SP  - 119
EP  - 124
PB  - Science Publishing Group
SN  - 2328-787X
UR  - https://doi.org/10.11648/j.si.20241206.16
AB  - Currently, the economy of China is demonstrating positive momentum. However, it also faces pressures stemming from structural adjustments and changes in the external environment. Ensuring sustainable development at the corporate level is crucial for maintaining overall economic stability and sustained growth within the nation. This paper utilizes A-share listed companies from 2007 to 2022 as a research sample and employs methods such as text analysis to measure managerial myopia, thereby investigating the relationship between managerial myopia and corporate sustainable development capabilities. The study finds a significant negative correlation between managerial myopia and corporate sustainable development capabilities, with the level of financialization of the corporate playing a mediating role: managerial myopia can lead to an increase in the level of financialization of the corporate, thereby weakening corporate sustainable development capabilities. Furthermore, internal controls and managerial incentive pay weaken the negative relationship between managerial myopia and corporate sustainable development capabilities. This paper also analyzes the degree to which managerial myopia weakens the sustainable development capabilities of enterprises with different property rights and different institutional investor shareholding ratios. It is found the detrimental impact of managerial myopia on the sustainable development capabilities of state-owned enterprises and corporate with lower institutional investor shareholding is more pronounced.

VL  - 12
IS  - 6
ER  -

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Author Information

Na Feng

School of Economics, Jinan University, Guangzhou, China

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Plain Text BibTeX RIS

APA Style

Feng, N. (2024). Managerial Myopia and Corporate Sustainable Development Capabilities. Science Innovation, 12(6), 119-124. https://doi.org/10.11648/j.si.20241206.16

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ACS Style

Feng, N. Managerial Myopia and Corporate Sustainable Development Capabilities. Sci. Innov. 2024, 12(6), 119-124. doi: 10.11648/j.si.20241206.16

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AMA Style

Feng N. Managerial Myopia and Corporate Sustainable Development Capabilities. Sci Innov. 2024;12(6):119-124. doi: 10.11648/j.si.20241206.16

Copy | Download

@article{10.11648/j.si.20241206.16,
  author = {Na Feng},
  title = {Managerial Myopia and Corporate Sustainable Development Capabilities
},
  journal = {Science Innovation},
  volume = {12},
  number = {6},
  pages = {119-124},
  doi = {10.11648/j.si.20241206.16},
  url = {https://doi.org/10.11648/j.si.20241206.16},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.si.20241206.16},
  abstract = {Currently, the economy of China is demonstrating positive momentum. However, it also faces pressures stemming from structural adjustments and changes in the external environment. Ensuring sustainable development at the corporate level is crucial for maintaining overall economic stability and sustained growth within the nation. This paper utilizes A-share listed companies from 2007 to 2022 as a research sample and employs methods such as text analysis to measure managerial myopia, thereby investigating the relationship between managerial myopia and corporate sustainable development capabilities. The study finds a significant negative correlation between managerial myopia and corporate sustainable development capabilities, with the level of financialization of the corporate playing a mediating role: managerial myopia can lead to an increase in the level of financialization of the corporate, thereby weakening corporate sustainable development capabilities. Furthermore, internal controls and managerial incentive pay weaken the negative relationship between managerial myopia and corporate sustainable development capabilities. This paper also analyzes the degree to which managerial myopia weakens the sustainable development capabilities of enterprises with different property rights and different institutional investor shareholding ratios. It is found the detrimental impact of managerial myopia on the sustainable development capabilities of state-owned enterprises and corporate with lower institutional investor shareholding is more pronounced.
},
 year = {2024}
}

Copy | Download

TY  - JOUR
T1  - Managerial Myopia and Corporate Sustainable Development Capabilities

AU  - Na Feng
Y1  - 2024/11/21
PY  - 2024
N1  - https://doi.org/10.11648/j.si.20241206.16
DO  - 10.11648/j.si.20241206.16
T2  - Science Innovation
JF  - Science Innovation
JO  - Science Innovation
SP  - 119
EP  - 124
PB  - Science Publishing Group
SN  - 2328-787X
UR  - https://doi.org/10.11648/j.si.20241206.16
AB  - Currently, the economy of China is demonstrating positive momentum. However, it also faces pressures stemming from structural adjustments and changes in the external environment. Ensuring sustainable development at the corporate level is crucial for maintaining overall economic stability and sustained growth within the nation. This paper utilizes A-share listed companies from 2007 to 2022 as a research sample and employs methods such as text analysis to measure managerial myopia, thereby investigating the relationship between managerial myopia and corporate sustainable development capabilities. The study finds a significant negative correlation between managerial myopia and corporate sustainable development capabilities, with the level of financialization of the corporate playing a mediating role: managerial myopia can lead to an increase in the level of financialization of the corporate, thereby weakening corporate sustainable development capabilities. Furthermore, internal controls and managerial incentive pay weaken the negative relationship between managerial myopia and corporate sustainable development capabilities. This paper also analyzes the degree to which managerial myopia weakens the sustainable development capabilities of enterprises with different property rights and different institutional investor shareholding ratios. It is found the detrimental impact of managerial myopia on the sustainable development capabilities of state-owned enterprises and corporate with lower institutional investor shareholding is more pronounced.

VL  - 12
IS  - 6
ER  -

Copy | Download