Mostly Red, Mostly White, and a Little Blue: An Analysis of Corporate Executive Political Ideology Through the Lens of Social Dominance Theory

Abstract

As we continue to experience the effects of corporate conglomeration, money in politics, the rise of far-right and far-left candidates from either major political party, one element has largely been ignored in corporate governance literature: corporate executive political ideologies and determinants. This study examines these political ideologies through the lens of social dominance theory, a theoretical framework stipulating that with increased social dominance and power, individuals stand to become more conservative in order to maintain the status quo. Several determinants of these ideologies are identified and studied among corporate executives, including gender, age, race, education, sector of board position, and sector of industry experience. Ideologies were measured using independent political contributions among the Fortune 500 directors and CEOs from 2012, including a subset of data analysis on the Fortune 50 from the same year. Results show a statistically significant relationship between conservative political ideology and both white and men corporate executives. Extraction and industrial-related sectors are also significantly associated with conservaive political ideologies. Finally, board members with more education are less conservative than those with less education. This study contributes to corporate governance, political ideology, and board diversity literature.