Sony, Obama and Governance

Few stories illustrate the separate magisteria occupied by those who govern countries and those who lead corporate institutions better than the still-happening Sony vs. N. Korean hacking case study. By now, unless you live in N. Korea, you know that Sony's new film, "The Interview," involving a plan to assassinate N. Korean leader Kim Jong Un, has been withdrawn from release because of the relentless hacking assault SOny experienced at the hands of N. Korean agents. Today, U.S. President Barak Obama joined the fray by saying the Sony "made a mistake" in withdrawing the film, something that the president compared to submitting to terrorist demands.Maybe. Maybe not. The fact is that corporations, for-profit and nonprofit alike, are governed for the interests of others--in Sony's case, the shareholders who own the company. A country may have a vested interest in resisting terrorist demands, even if it means further damage to the country, but those leading corporations do not. Their interest lies in protecting the corporation from further damage. Period.Clearly, the U.S. Government is incapable of defending Sony, nor is it able to undo damage already done, so in my view the company was acting in its legitimate self-interest by pulling the film before release. One could disagree, but in the end a decision such as this one--carrying significant risk--comes down to remembering for whom one leads and governs. Countries are one thing; companies are another. Their interests will not always align.