THE EFFECT OF CEO PAY DEVIATIONS ON CEO WITHDRAWAL, FIRM SIZE, AND FIRM PROFITS

被引：89
|
作者：
Fong, Eric A. [1 ]
Misangyi, Vilmos F. [2 ]
Tosi, Henry L., Jr. [3 ,4 ]
机构：
[1] Univ Alabama, Coll Business Adm, Dept Management & Mkt, Huntsville, AL 35899 USA
[2] Penn State Univ, Smeal Coll Business, Dept Management & Org, University Pk, PA 16802 USA
[3] Univ Florida, Dept Management, Warrington Coll Business Adm, Gainesville, FL USA
[4] Bocconi Univ, Sch Management, Strategy & Entrepreneurship Management Dept, Milan, Italy
来源：
STRATEGIC MANAGEMENT JOURNAL | 2010年 / 31卷 / 06期
关键词：
CEO compensation; CEO turnover; CEO power; equity; labor markets; overpayment; TOP MANAGEMENT; MANAGERIAL REMUNERATION; EQUITY THEORY; PERFORMANCE; COMPENSATION; OWNERSHIP; CONSEQUENCES; DETERMINANT; STRATEGY; GROWTH;
D O I：
10.1002/smj.827
中图分类号：
F [经济];
学科分类号：
02 ;
摘要：
We build upon previous work on the effects of deviations in CEO pay from labor markets to assess how overcompensation or undercompensation affects subsequent voluntary CEO withdrawal, firm size, and firm profitability, taking into account the moderating effect of firm ownership structure. We find that CEO underpayment is related to changes in firm size and CEO withdrawal, and that the relationship between CEO underpayment and CEO withdrawal is stronger in owner-controlled firms. We also show that when CEOs are overpaid, there is higher firm profitability; a relationship that is weaker among manager-controlled firms. We then discuss the implications that these findings have for Mitre research. Copyright (C) 2010 John Wiley & Sons, Ltd.
引用
收藏
页码：629 / 651
页数：23
相关论文
共 50 条
  • [11] CEO power and innovative knowledge assets: the joint moderating effect of firm size and firm age
    Liu, Yexin
    Huang, Maoyuan
    Wu, Weiwei
    Yang, Ying
    DISCOVER SUSTAINABILITY, 2025, 6 (01):
  • [12] Firm size, performance and CEO pay: Evidence from a group of American quality companies
    Tai, LS
    TOTAL QUALITY MANAGEMENT & BUSINESS EXCELLENCE, 2004, 15 (01): : 35 - 42
  • [13] Firm Performance and CEO Pay: Evidence from Indian Manufacturing
    Ghosh, Saibal
    JOURNAL OF ENTREPRENEURSHIP, 2010, 19 (02): : 137 - 147
  • [14] COMPENSATION UNTANGLING THE RELATIONSHIP BETWEEN CEO PAY AND FIRM PERFORMANCE
    Rouen, Ethan
    HARVARD BUSINESS REVIEW, 2018, 96 (03) : 30 - 30
  • [15] CEO CHARACTERISTICS, FIRM POLICY, AND FIRM PERFORMANCE
    Setiawan, Rahmat
    Gestanti, Lila
    INTERNATIONAL JOURNAL OF BUSINESS AND SOCIETY, 2022, 23 (01): : 371 - 389
  • [16] CEO Hubris, Firm Investmemt and Firm Performance
    Liu Huanhuan
    Xie Lu
    PROCEEDINGS OF THE 2011 EXCHANGE CONFERENCE - INTERNATIONAL MARKETING SCIENCE AND INFORMATION TECHNOLOGY, 2011, : 149 - 154
  • [17] Microfoundations of firm internationalization: The owner CEO effect
    Chittoor, Raveendra
    Aulakh, Preet S.
    Ray, Sougata
    GLOBAL STRATEGY JOURNAL, 2019, 9 (01) : 42 - 65
  • [18] PROFITS, VARIABILITY OF PROFITS AND FIRM SIZE
    SAMUELS, JM
    SMYTH, DJ
    ECONOMICA, 1968, 35 (138) : 127 - 139
  • [19] Incentive pay sensitivity to firm performance prior to anticipated CEO turnover
    V. Chulkov, Dmitriy
    Barron, John M.
    HELIYON, 2023, 9 (11)
  • [20] CEO compensation and firm performance in Japan: Evidence from new panel data on individual CEO pay
    Kato, T
    Kubo, K
    JOURNAL OF THE JAPANESE AND INTERNATIONAL ECONOMIES, 2006, 20 (01) : 1 - 19
12345