Speaker
Management Research Seminar Series, conducted by the Department of Economics and Business, aims to bring accomplished researchers in the Management field to share their current research projects to facilitate an academic discussion, enhance knowledge, and discover potential connections. The series is designed for the academic audience, i.e., the Faculty and MA, PhD students; however, anyone interested in the series is welcome to attend.
On November 9, Dr. Sayan Sarkar from Hong Kong University of Science and Technology will join the Management Research Seminar Series. The event will be in-person and on Zoom. For details, please email senyuza@ceu.edu or Yurteri_Sidar@phd.ceu.edu.
Title: One News, Many Views: Strategy, Investor Disagreement on Social Media, and Entrepreneurial Resource-Acquisition
Abstract: While management research explains how investors respond - on average - to a wide range of signals and cues, we know less about when investors might come to disagree in response to such information. Disagreement matters insofar it determines several performance metrics, such as IPO underpricing, reaction to earnings news, and the cost of capital. We argue that investor disagreement will be high when the strategy of a firm has high (a) imbalance of focus afforded to internal and environmental factors, (b) novelty vs. peers and (c) degree of contingencies. We assess empirical support from a novel disagreement measure based on tweets posted to an investor social-media platform during c600 recent US IPOs, bypassing limitations of traditionally used disagreement proxies. We inform the literature on entrepreneurial resource acquisition and investor response to uncertainty.