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When a Rebel Breaks the Mold: How CEO Nonconformity and TMT Regulatory Focus Affect CVC Investments
Conference paper   Peer reviewed

When a Rebel Breaks the Mold: How CEO Nonconformity and TMT Regulatory Focus Affect CVC Investments

Tahmineh Borhani, Alex (Oleksandr) Tsaruk and Abhishek Srivastava
Academy of Management Annual Meeting Proceedings, Vol.2026(1)
07/17/2026

Abstract

CEO nonconformity cognitive frame social identity regulatory focus corporate venture capital

This study examines how CEO nonconformity drives corporate venture capital (CVC) investment by integrating cognitive frames, social identity, and regulatory focus theories. CVC investments are recognized for their capacity to expand organizational boundaries through knowledge absorption and market exploration. Yet, research has largely overlooked executive-level antecedents. We theorize that CEOs who deviate from conventional norms possess a nonconforming cognitive frame composed of distinctiveness and rebelliousness lenses. This cognitive frame enables them to identify distant but valuable opportunities while motivating innovative actions to affirm their unique social identity among corporate leaders. However, while recognizing novel opportunities is essential, the motivation to act upon these insights depends on regulatory focus. A top management team (TMT) with a high promotion focus is oriented toward gain-seeking behaviors and views uncertainty as strategic opportunity. In such contexts, the relationship between CEO nonconformity and CVC investments is strengthened. Conversely, when the TMT is prevention-focused—prioritizing security over gains—the same uncertainty may be perceived as risk, thereby attenuating the expression of nonconforming behavior in venture decisions. This study contributes to the upper echelon and corporate venturing literatures by highlighting how executive cognitive frames and identity motivations influence strategic decisions

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