CEO Characteristics, CEO-Firm Match and Corporate Refocus Value
This paper investigates how CEO characteristics affect firm value through divesti- ture. Using a novel dataset tracking CEOs career path, from which CEOs talent and expertise are reasonably inferred, I nd when CEOs have differing abilities across divi- sions of conglomerates, they more likely divest divisions that they are less qualied to manage, and focus on divisions of better match with their talents and expertise. The better match of their talents with rmsretained assets is the source of value creation from refocusing divestiture. Divestitures that increase corporate focus but not improve the talent-asset match do not create value in long run. The results are robust to con- trolling various factors that may affect rms divestiture decisions. This study adds a new perspective to the growing literature that managerial characteristics matter for corporate policy decisions and performance.
Sheng Huang
Department of Economics,Washington University in St.Louis
国际会议
大连
英文
1-50
2008-07-02（万方平台首次上网日期，不代表论文的发表时间）