Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Ceo change and firm performance in large corporations: Succession effects and manager effects

Ceo change and firm performance in large corporations: Succession effects and manager effects This paper argues that the succession/performance relationship is a function of two distinct, complementary concepts: manager effects and succession effects. Hypotheses are tested using a cross‐sectional/longitudinal research design, with a sample of 209 large corporations. The results suggest that announcements of CEO changes are typically associated with a reduction in the value of the firm, as reflected in the perceptions of the stock market, and that CEO successors tend to significantly influence the production and investment decisions of their firms. These results hold for both insider and outsider succession. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Strategic Management Journal Wiley

Ceo change and firm performance in large corporations: Succession effects and manager effects

Loading next page...
 
/lp/wiley/ceo-change-and-firm-performance-in-large-corporations-succession-sZLZhrp0fM

References (31)

Publisher
Wiley
Copyright
Copyright © 1987 John Wiley & Sons, Ltd.
ISSN
0143-2095
eISSN
1097-0266
DOI
10.1002/smj.4250080402
Publisher site
See Article on Publisher Site

Abstract

This paper argues that the succession/performance relationship is a function of two distinct, complementary concepts: manager effects and succession effects. Hypotheses are tested using a cross‐sectional/longitudinal research design, with a sample of 209 large corporations. The results suggest that announcements of CEO changes are typically associated with a reduction in the value of the firm, as reflected in the perceptions of the stock market, and that CEO successors tend to significantly influence the production and investment decisions of their firms. These results hold for both insider and outsider succession.

Journal

Strategic Management JournalWiley

Published: Jul 1, 1987

There are no references for this article.