Be Careful What You Wish For: CEO and Analyst Firm Performance Attributions and CEO Dismissal

2021 ◽  
Author(s):  
Sun Hyun Park ◽  
Sung Hun (Brian) Chung ◽  
Nandini Rajagopalan
Keyword(s):  
Firm Performance ◽  
Ceo Dismissal ◽  
Performance Attributions

scholarly journals Is the „bottom line“ the bottom line? The determinants of CEO forced exit

2006 ◽  
Vol 4 (1) ◽  
pp. 91-105
Author(s):  
Andrew Ward
Keyword(s):  
Firm Performance ◽  
Stock Returns ◽  
Institutional Investors ◽  
Ceo Succession ◽  
Matched Sample ◽  
Bottom Line ◽  
Earnings Expectations ◽  
Ceo Dismissal ◽  
Business Week ◽  
The Relationship

The linkage between poor firm performance and CEO dismissal has not been consistently demonstrated in prior research, leading to calls to explore factors that moderate this relationship. In an industry-matched sample of firms from the Business Week 1000 that dismiss their CEO and those that don’t, we examine the relationship between different measures of firm performance and dismissal, as well as the power of the CEO, board and shareholders to moderate this relationship. We find that CEO succession is related to stock returns, changes in profitability, and debt downgrading, but not to earnings expectations. Further, CEOs use their power to resist exit under all circumstances, while boards and institutional investors exercise their power to force out the CEO only when performance is poor

You’re Fired! Gender Disparities in CEO Dismissal

2018 ◽  
Vol 46 (4) ◽  
pp. 560-582 ◽  
Author(s):  
Vishal K. Gupta ◽  
Sandra C. Mortal ◽  
Sabatino Silveri ◽  
Minxing Sun ◽  
Daniel B. Turban
Keyword(s):  
Firm Performance ◽  
Analytical Techniques ◽  
Gender Disparities ◽  
Future Research ◽  
Ceteris Paribus ◽  
Ceo Dismissal ◽  
Female Ceos ◽  
Gender Influences ◽  
Ceo Gender

CEO dismissals attract considerable attention, presumably because of the visibility, publicity, and intrigue that often surrounds the decision to fire the CEO. With the goal of advancing scholarly understanding of CEO dismissals, we examine whether CEO gender influences the likelihood of dismissal. We theorize and find that ceteris paribus, female CEOs are significantly more likely to be dismissed than male CEOs. Perhaps even more importantly, we find a CEO gender by firm performance interaction such that male CEOs are less likely to be dismissed when firm performance is high (compared to when it is low), whereas female CEOs have a similar level of dismissal likelihood regardless of firm performance. Notably, our results are robust to multiple analytical techniques and various econometric specifications, bringing greater credence to the validity of our findings. Implications and directions for future research are also discussed.

Does Diversity in The Boardroom Add Value to a Firm?

2018 ◽  
Vol 18 (5) ◽  
Keyword(s):  
Firm Performance ◽  
Panel Data ◽  
Firm Size ◽  
Significant Influence ◽  
Negative Influence ◽  
Positive Influence ◽  
Future Research ◽  
Board Composition ◽  
Board Diversity

This study examines whether board diversity affects firm performance. We investigate this study using panel data of a sample of S&P 500 firms during a 12 year period. After controlling for industry, firm size, and other board composition variables, we find that all three board diversity variables of interest – gender, ethnicity, and age have a significant influence on firm performance. While ethnicity and age have a positive influence on firm performance, it was found that gender has a negative influence. Implications for future research are discussed.

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