Shareholder value and open innovation: evidence from Dividend Champions

Nicola Miglietta, Enrico Battisti, Alexeis Garcia-Perez

Research output: Contribution to journalArticlepeer-review


The purpose of this paper is to analyse companies listed on the US Stock Market in order to investigate for the selected companies, called the Dividend Champions, the introduction of an open innovation practice. This study is based on a mixed-methods sequential explanatory design. This research is based on an empirical analysis undertaken with 65 listed companies in order to examine, in the first phase, the Dividend Champions. These firms have increased their dividend yield for at least the past 40 years. In a second phase, this research studies the application of an open innovation practice for those listed companies that have systematically paid increased dividends for 60 years and have, at the same time, beat the market. This study reveals seven listed companies that, for more than 60 years, have regularly paid growing dividends and, at the same time, have beat the yield of the market (i.e. six out of the seven companies). The latter include: American States Water, Dover Corporation, Emerson Electric, Genuine Parts Co., Parker-Hannifin Corporation, and Procter & Gamble Co. All of these corporations have adopted or implemented a practice of open innovation. This is among the first research initiatives based on the potential relationship between shareholder value and open innovation. In particular, this paper highlights the fact that US-listed companies can create more value for shareholders over a long period and, at the same time, beat the market by adopting different open innovation practices.
Original languageEnglish
Pages (from-to)1384-1397
Number of pages14
JournalManagement Decision
Issue number6
Early online date24 Jan 2018
Publication statusPublished - 4 Jun 2018


  • Open Innovation practice
  • Shareholder value
  • Dividend champions
  • Stock market
  • Standard & Poor’s 500
  • Acquisitions


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