For over four decades, the topic of Chief Executive Officer (CEO) compensation has attracted considerable attention from the fields of economics, finance, management, public policy, law, and business ethics. As scholarly interest in CEO pay has increased, so has public concern about the ethics of high CEO pay. Despite growing interest and pressure among the public and government to reduce CEO pay, it has continued to increase. Using a multi-method design incorporating a pilot study, two online experiments, and an event (...) study, we investigate the impact of CEO pay on consumer purchase intent and find that this negative relationship is magnified under conditions of brand crisis. We also find that the negative interaction of high CEO pay and brand crisis on purchase intent is more negative when the brand has strong equity. Finally, when the CEO is awarded high pay while the firm they manage is undergoing a brand crisis, consumers lose trust in the firm’s brand which reduces consumer purchase intent. This research provides insight on how governance decisions can impact consumer perceptions of corporate brands and consumer behavior, with implications for public policy leaders, boards of directors, CEOs, and Chief Marketing Officers regarding how to manage and message CEO pay. (shrink)

It has been suggested that people who will face hardship in the future may deserve our sympathies now. Similar intuitions can be adopted regarding the deservingness of jobs and scholarships, where andidates may be deserving now based on their expected future performance. To accommodate these intuitions, some have contended that desert is sometimes forward-looking. In this paper, I argue that it is a mistake to think of desert as forward-looking. The forward-looking view struggles to explain the deservingness of subjects that (...) have conflicting desert-making features in the future, it requires that we accept asymmetries and exceptions in desert theory and that we commit to a form of moderate determinism. In response, I present a comparative approach that offers a unified framework for explaining forward-looking cases without the drawbacks associated with the forward-looking view. (shrink)