Abstract
In the cultural context of “the children follow the father's surname,” the incorporation of both parents' surnames into the children's surnames (i.e., the “new compound surnames” phenomenon) reflects the conceptual change that occurred during the modernization of society. Using a sample of Chinese A-share listed firms from 2011 to 2020, this study examines whether firms led by CEOs with new compound surnames are associated with better environmental, social, and governance (ESG) performance. We find that firms led by CEOs with new compound surnames have significantly higher ESG performance scores. This finding holds after an array of robustness checks. We also find that the effect of CEOs with new compound surnames on ESG performance is more pronounced for non-state-owned enterprises, firms led by CEOs with lower personal economic motivation, and firms located in areas with higher marketization. Our study contributes to the research on executive characteristics and informal institutions by exploring the informativeness of CEOs' new compound surnames and has important implications for corporate governance.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
