Abstract We create a culture dictionary using one of the latest machine learning techniques—the word embedding model—and 209,480 earnings call transcripts. We score the five corporate cultural values of innovation, integrity, quality, respect, and teamwork for 62,664 firm-year observations over the period 2001–2018. We show that an innovative culture is broader than the usual measures of corporate innovation – R&D expenses and the number of patents. Moreover, we show that corporate culture correlates with business outcomes, including operational efficiency, risk-taking, earnings management, executive compensation design, firm value, and deal making, and that the culture-performance link is more pronounced in bad times. Finally, we present suggestive evidence that corporate culture is shaped by major corporate events, such as mergers and acquisitions.

No abstract

No abstract

No abstract

No abstract

After fitting a topic model to 40,927 COVID-19-related paragraphs in 3,581 earnings calls over the period Jan. 22-Apr. 30, 2020, we obtain firm-level measures of exposure and response related to COVID-19 for 2,894 U.S. firms. We show that despite the large negative impact of COVID-19 on their operations, firms with a strong corporate culture outperform their peers without a strong culture. Moreover, these firms are more likely to support their community, embrace digital transformation, and develop new products than those peers. We conclude that corporate culture is an intangible asset designed to meet unforeseen contingencies as they arise."We are also in the early stages of understanding if and to what extent we may be temporarily impacted by the coronavirus. At this point, we're expecting a 1-to 1.5-week delay in the ramp of Shanghai-built Model 3 due to a government-required factory shutdown. This may slightly impact profitability for the quarter but is limited as the profit contribution from Model 3 Shanghai remains in the early stages."Zachary Kirkhorn Chief Financial Officer (CFO), Tesla, Inc., Jan. 29, 2020 We thank the special issue editors Ran Duchin and

Online reviews are playing an increasingly important role in how patients select and evaluate health‐care providers. Physician rating websites not only act as open platforms for patients to share their experiences, but can also offer valuable feedback for physicians to improve the quality of care. In this study, we analyze over one million physician reviews across 17 medical specialties and investigate the relationship between operational efficiency and patient satisfaction. We combine econometrics models with text analytics techniques to quantify the effect using both patients' ratings of physicians and their qualitative review narratives. The results provide strong empirical evidence that operational inefficiency negatively influences patient satisfaction. Specifically, a waiting time longer than 17 min will, on average, reduce the odds of getting a high rating status by 14%. Though many health care ratings examined in this study do not mitigate the negative effects brought on by long waiting time, patient narratives reflecting the importance of technical and interpersonal qualities to patients suggest a more complex set of relationships between waiting time and patient satisfaction. Our study showcases the usefulness of online physician reviews and reveals unique insights for improving the delivery of patient‐centered health care.

No abstract