ME OR WE: THE EFFECTS OF CEO ORGANIZATIONAL IDENTIFICATION ON AGENCY COSTS

被引:152
作者
Boivie, Steven [1 ]
Lange, Donald [2 ]
McDonald, Michael L. [3 ]
Westphal, James D. [4 ]
机构
[1] Univ Arizona, Eller Coll Management, Tucson, AZ 85721 USA
[2] Arizona State Univ, WP Carey Sch Business, Tempe, AZ 85287 USA
[3] Univ Texas San Antonio, Dept Management, San Antonio, TX USA
[4] Univ Michigan, Ross Sch Business, Ann Arbor, MI 48109 USA
关键词
TOP MANAGEMENT TEAMS; CORPORATE GOVERNANCE; EXECUTIVE-COMPENSATION; MANAGERIAL INCENTIVES; OWNERSHIP STRUCTURE; BOARD COMPOSITION; FIRM PERFORMANCE; SOCIAL IDENTITY; ADVICE NETWORKS; STRATEGY;
D O I
10.5465/AMJ.2011.61968081
中图分类号
F [经济];
学科分类号
02 ;
摘要
The corporate governance literature on potential remedies for the agency problem has focused largely on external control mechanisms, especially board independence. We instead consider how an internal, psychological factor-CEO organizational identification-may influence the extent to which firms incur agency costs, including those entailed by the decoupling of CEO pay and perquisites from firm performance. Our theory and findings explain why a CEO with high organizational identification may avoid pursuit of personal gains that can harm the firm he or she leads and its image. We further show how board independence is less likely to reduce agency costs when CEO organizational identification is high.
引用
收藏
页码:551 / 576
页数:26
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