The Pressure to Perform: Option Compensation and Forced CEO Turnover

被引：0
|
作者：
Chakraborty, Atreya [1 ]
Sheikh, Shahbaz [2 ]
机构：
[1] Univ Massachusetts, Coll Management, Finance, Boston, MA 02125 USA
[2] Univ Western Ontario, Finance Management & Org Studies, London, ON N6A 5C2, Canada
来源：
INTERNATIONAL JOURNAL OF BUSINESS | 2015年 / 20卷 / 04期
关键词：
stock options; compensation; termination; governance;
D O I：
暂无
中图分类号：
F [经济];
学科分类号：
02 ;
摘要：
We study the relationship between the proportion of option compensation in the total compensation of a CEO and the likelihood of forced turnover. Our results confirm prior findings that CEOs who receive higher option compensation are more likely to lose their jobs for poor performance. However, this positive relation between option compensation and forced turnover does not hold for influential CEOs and firms with poor governance structures. Our results are robust to various measures of firm performance, alternative definition of forced turnover, more than one lags of option compensation, inclusion of total compensation, CEO equity ownership and firm risk.
引用
收藏
页码：308 / 325
页数：18
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