Do liberal and conservative-leaning CEOs approach de-internationalization differently? Zooming in on the onset of the 2022 Russia/Ukraine crisis

Abstract

We explore multinationals’ de-internationalization at the onset of the 2022 Russia/Ukraine crisis, based on their CEO's political ideology. Using motivated cognition logic, we propose that the differences between conservative- and liberal-leaning CEOs regarding their attitudes toward change and social justice influence their receptivity to stakeholders’ demands regarding divestment. Using a sample of US MNCs, we find support for our arguments. This research is of scholarly importance as this crisis may intensify the terrains of contestation which multinationals represent for stakeholders that are making claims over their location decisions, often perceived as a sign of acceptance into a country's political actions.