Detail Executive compensation and firm performance: Domestic and multinational firms Bibliografi Author: Choi, Jongmoo Jay (Advisor); Ha, Jeongchul Topik: BUSINESS ADMINISTRATION; MANAGEMENT|ECONOMICS; GENERAL Bahasa: (EN )    ISBN: 0-599-74827-3     Penerbit: TEMPLE UNIVERSITY     Tahun Terbit: 2000     Jenis: Theses - Dissertation Fulltext: 9969888.pdf (0.0B; 0 download) Abstract This dissertation investigates an issue that has received much popular attention recently: how do we design an executive compensation package that contributes to corporate performance? To address this question, the dissertation examines the various factors that influence the relationship between compensation for the chief executive officer (CEO) and firm performance from three distinct theoretical perspectives: the agency theory, human capital theory, and internalization theory. The agency theory suggests that pay-for-performance is a means of reducing agency costs and of enhancing managerial effort level. The intuition is that an optimally composed CEO compensation package can help mitigate agency problems arising from the divergence of interests between the CEO and shareholders, and thereby can contribute to firm performance. From the perspective of human capital theory, the CEO's human capital, such as experience and firm-specific knowledge, is also a factor that enhances firm performance and CEO compensation. In general, the greater is the firm's reliance on its human resources as a source of competitive advantage, the more important should human capital be as a contributing factor to firm performance. The theory of internalization suggests that multinational firms normally require a higher level of human capital in the face of globalization and rapid technological change than domestic firms. The internalization of firm-specific intangible assets, such as effective management skills and superior technological capabilities, necessitates a greater level of CEO human capital. After developing a theoretical framework for the shirking models of compensation, the dissertation presents evidence that both executive compensation and firm performance have a positive influence on each other, and are simultaneously determined. However, executive compensation is also affected by other variables. For instance, company size, the degree of leverage and the length of service as CEO have a positive impact on executive compensation. Considering the effects of multinationality and technological intensity on CEO compensation, the dissertation documents the positive impacts of multinationality on executive compensation as well as firm performance. The degree of multinationality affects executive compensation not only directly through firm performance but also indirectly as a result of interactions with human capital and agency variables. In summary, the theories of agency, human capital and internalization are not mutually exclusive, but rather complements to one another in explaining the interdependence between CEO compensation and firm performance. Thus, in contrast to existing work that has a single theoretical paradigm, the study contributes to a better understanding of compensation policies by examining the factors influencing compensation and performance from an integrated perspective. Opini Anda Klik untuk menuliskan opini Anda tentang koleksi ini! Lihat Sejarah Pengadaan  Konversi Metadata   Kembali

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