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 regions. Governors are at the forefront of convincing businesses to relocate 
to their states, incubating the development of new technologies and indus-
tries, and creating tax and regulatory schemes that are attractive to business. 
Governors with business experience have an advantage over career politi-
cians because they have real-world experience in creating jobs and under-
standing the effects of government policies on the private sector. They also 
are able to view government operations with a set of fresh eyes, unlike indi-
viduals who become governor by the standard practice of working their way 
through the political system. Business practices of focusing on good cus-
tomer service provision and cost efficiencies help governors streamline and 
rationalize government programs that are often designed around what is 
politically possible rather than best practices.

Businesspeople often successfully run for governor by arguing that they 
are not part of the entrenched political system. They are above the partisan 
rivalries and conflicts that grip contemporary American politics. They do 
not owe favors or paybacks to other politicians and special interests because 
they have not spent their careers in the political system. This allows gover-
nors with a business background to be results-oriented. This focus on policy 
outcomes, rather than partisan points, makes “CEO” governors the best 
qualified people to be a state’s chief executive.

NO

Government is not a business, so why would a business executive be a better 
leader of government than a politician or someone with government experi-
ence? The idea that government should be run like a business is a myth that 
will not die. The differences between business and government are glaringly 
obvious. For one, business'  primary motive is to earn a profit.  
The primary goal of government is to serve citizens. Second, businesses 

Citizens look to governors to create jobs and economic development in their 
states. Overall trade policy is negotiated between Washington, D.C., and 
other countries. However, much of the competition for development within 
the United States takes place between different states and metropolitan 

YES

Commonwealth Forum: Do Businesspeople Make

Good Chief Executives?



ment dysfunction. Recent GOP presidential candidate and former governor 
of Florida Jeb Bush went straight from business into public office. Under his 
leadership from 1999 to 2007, spending ballooned by 45 percent, but taxes 
were cut largely for the wealthy and corporations, increasing debt by over $8 
billion. Such results would not serve a business well, let alone the public 
 sector.

For More Information

The National Governors Association (NGA) (http:// nga .org) represents the 
interests of the nation’s fifty-five governors of states, commonwealths, 
and territories. Through the NGA, governors share best practices, learn 
from each other, and develop policy solutions. Its website has numerous 
news items and reports as they relate to the role of the state executive.

Rutgers University Center on the American Governor (http:// governors 
.rutgers .edu/) promotes research and discussion on the history and cur-
rent role of governors with archived reports, videos, and analysis.

The Best Job in Politics: Exploring How Governors Succeed as Policy Lead-
ers (Thousand Oaks, CA: CQ Press, 2012), by Alan Rosenthal, explores 
the workings of state executives through interviews with governors and 
legislators.

A Legacy of Leadership: Governors and American History (Philadelphia: 
University of Pennsylvania Press, 2008), edited by Clayton McClure 
Brooks, presents the position of governor in historical context, demon-
strating how the role has changed over time as a result of culture, the 
economy, and world events.

can choose with whom they interact and their clientele. Governments exists 
to serve all the people. Third, businesses have a strictly top-down structure, 
with good reason. Governments function on the basis of compromise on 
many levels, as they must weigh the outcomes of policies on the basis of 
how they would affect many groups and interests. Furthermore, executives 
in government work for the people, not the other way around. Finally (but 
by no means the only other reason), business decisions are private and, 
once made, require no public disclosure. Governments undergo constant 
criti-cism from the public and the press, and they function in plain view.

Two recent examples show the inadequacy of business executives in the 
highest position of state government. First, Governor Bruce Rauner of Illi-
nois was elected in 2014 with an extensive business background leading in-
vestment firms. However, the state went without a complete budget through 
fiscal years 2016, 2017, and into 2018. Rauner’s leadership has meant govern-

From Pennsylvania Politics and Policy: A Commonwealth Reader, Volume 1. Edited by 
Michelle J. Atherton and J. Wesley Leckrone (Philadelphia, Temple University Press, 
2018).




