Chief Executive Officer Gender Research Articles

Chief Executive Officer attributes, board structures, gender diversity and firm performance among French CAC 40 listed firms

Reflecting investor expectations, most prior corporate governance research attempt to find the effect duality Role of Chief Executive Officer, board structures and firm financial performance. Specifically, we refer to devote this paper on investigating the relationship between the Duality Role of Chief Executive Officer (CEO), the CEO tenure, board structures and gender diversity with tow measurement of performance in listed companies in CAC 40. We found evidence provide that board characteristics are positively correlated to the firm’ performance. However, our results show a significant association between ROE, ROA and the board of directors’ composition. We find significant negative association between financial information and equity-based management compensation. On the other hand, the presence of independent directors on the board seems to affect, positively, the level of financial performance CAC 40 firms. Likewise, the stewardship theory assumption, the CEO duality is very high and is significantly associated with a higher level of firm performance. Our results suggest a constant negative relation between firm performance and CEO’s tenure. The results show that there is a significant relationship between board gender diversity and firm performance from our samples CAC 40 companies.

CEO Age and CEO Gender: Are Female CEOs Older Than Their Male Counterparts?

Motivated by the debate on gender inequality, we study CEO gender and CEO age. Because women face significantly more obstacles in advancing their careers, it may take them longer to reach the top position, i.e. the chief executive officer (CEO). If this is the case, female CEOs should be older than their male counterparts on average. Based on over 12,000 observations across 15 years, our evidence shows that female CEOs are actually younger on average, approximately two full years younger than male CEOs, after controlling for firm and board characteristics. The two-year difference represents as much as 26% of the standard deviation in CEO age. We confirm our results using several robustness tests including a fixed-effects analysis, propensity score matching, as well as an instrumental-variable analysis. The results are robust and do not appear to be driven by endogeneity. Because it is substantially harder for women to become a CEO, those who are successful must possess extraordinary skills, enabling them to be a CEO younger.

CEO characteristics and the amount of capital raised in Malaysian IPOs

This study examines the impact of the characteristics of the Chief Executive Officer (CEO) on the amount of capital raised in the Malaysian Initial Public Offering (IPO) market. To have a broader picture of the impact, the current study employs the Ordinary Least Squares (OLS) and quantile regression techniques, using a sample of 214 IPOs over the period of 2005-2015. The use of the quantile regression technique allows the study to estimate the impact of the CEO's characteristics at different quantiles of the conditional distribution of the capital raised. The results show that companies with a Malay CEO raise more capital than those companies with a non-Malay CEO. In addition, CEO age is significant and negatively associated with capital raised. However, the impact of CEO educational qualification is mixed, while CEO gender is insignificant. Other variables, such as company size and pre-IPO financial health, have significant and positive impact on capital raised. The practical implication of the study is that the characteristics of the CEO play a signalling role in IPO decisions. As such, investors can consider the characteristics of the CEO before making investment decisions.

CEO characteristics and the amount of capital raised in Malaysian IPOs

This study examines the impact of the characteristics of the Chief Executive Officer (CEO) on the amount of capital raised in the Malaysian Initial Public Offering (IPO) market. To have a broader picture of the impact, the current study employs the Ordinary Least Squares (OLS) and quantile regression techniques, using a sample of 214 IPOs over the period of 2005-2015. The use of the quantile regression technique allows the study to estimate the impact of the CEO's characteristics at different quantiles of the conditional distribution of the capital raised. The results show that companies with a Malay CEO raise more capital than those companies with a non-Malay CEO. In addition, CEO age is significant and negatively associated with capital raised. However, the impact of CEO educational qualification is mixed, while CEO gender is insignificant. Other variables, such as company size and pre-IPO financial health, have significant and positive impact on capital raised. The practical implication of the study is that the characteristics of the CEO play a signalling role in IPO decisions. As such, investors can consider the characteristics of the CEO before making investment decisions.

The glass ceiling in context: the influence of CEO gender, recruitment practices and firm internationalisation on the representation of women in management

This study examines macro‐level organisational determinants of women in management. Specifically, we examined organisational characteristics and strategies, including firm levels of internationalisation, firm foreign ownership, chief executive officer gender and the active recruitment of women, as predictors of an organisation's level of representation of women in management. Results from a survey of 278 firms indicated that the presence of a female chief executive officer and an organisation's active recruitment of women are positively associated with a firm's percentage of women in management while firm internationalisation and firm foreign ownership are negatively associated with the representation of women in management. Overall, these findings suggest that although firms exercise discretion with respect to hiring and promoting women, they are also constrained by the external environment and organisational characteristics. For example, firms with higher levels of firm internationalisation and that are foreign‐owned may limit their efforts and investment in the advancement of women into management.

CEO age and CEO gender: Are female CEOs older than their male counterparts?

Motivated by the debate on gender inequality, we study CEO gender and CEO age. Because women face significantly more obstacles in advancing their careers, it may take them longer to reach the top position, i.e. the chief executive officer (CEO). If this is the case, female CEOs should be older than their male counterparts on average. Our evidence shows that female CEOs are actually younger on average, approximately two full years younger than male CEOs, after controlling for firm and board characteristics. The two-year difference represents as much as 26% of the standard deviation in CEO age.

Determinants of restaurant internationalization: an upper echelons theory perspective

PurposeThe purpose of this research is to account for the internationalization of restaurants. The conceptual framework of upper echelons theory is applied to identify the demographic determinants of internationalization among chief executive officers (CEOs).Design/methodology/approachData from 30 restaurant firms for the period 1999-2013 were collected from a variety of sources, primarily Compustat and Execucomp, based on Standard Industrial Classification (SIC) code 5812, the annual 10-K and public information. A panel feasible generalized least squares model was used as the main instrument of analysis.FindingsThe findings indicate that the CEO gender and share ownership negatively affect the internationalization of restaurant companies, whereas size, the extent of franchising, the type of restaurant and stock options positively affect the degree of internationalization. Additionally, an inverted U-shaped relation exists between CEO tenure and the degree of internationalization.Practical implicationsThe presented information may provide shareholders and boards of directors with valuable guidelines regarding the assignment of appropriate managers depending on the extent to which their companies are pursuing internationalization strategies.Originality/valueMost studies in hospitality sectors have focused only on accounting-based measures to explain strategic decision-making, although proponents of upper echelons theory have argued that CEO attributes influence strategic decisions/changes. This study contributes to the literature on hospitality by identifying the effects of CEO characteristics on internationalization decisions.

The Stock Market Response to CEO Changes: Does Gender Matter?

During the past 40 years, women’s participation in the workforce has increased dramatically. However females have not made any recognizable gains when it comes to appointments as Chief Executive Officers (CEOs). In fact, the proportion of female CEOs heading publicly traded firms has stagnated at only 1.4%. This study analyzes the stock market response to both announcements and terminations of female CEOs. Most previous studies have been limited to the analysis of appointments only. Our results suggest that investor response to both appointments and terminations of female CEOs is not significantly different from that of male CEOs. The continued low proportion of female CEOs remains an enigma, and research investigating on other possible explanations for this phenomenon will have to be conducted. The cultural composition of the business landscape in the United States continues to evolve. We’ve moved toward parity among the sexes in many areas. However the participation rate of females at the top level of business organizations remains low. Studies show that as few as 1.4% of CEO’s in the Fortune 500 are females and a mere 13% of corporate board members are women (Laff, 2007). This disparity also exists globally, as only 29 of the Forbes 100 Most Powerful Women in the World are CEOs (Atal, Perlroth, Vardi, & Forbes, 2011). Shareholders seek to maximize their wealth. The theoretical underpinnings of finance suggest that boards of directors and investors should be rational in their decision-making in order to provide the highest possible success for the firm. Females comprise as much as 50% of the modern-day U.S. workforce. Thus, one might think that the proportion of female CEOs and Board members would be closer to 50%. Surprisingly very few studies examine investor perceptions of CEO gender. Those that do analyze CEO appointments only and not terminations of CEOs (for example, Lee & James, 2007; Martin, Nishikawa, & Williams, 2009). In addition, findings from a variety of studies (reviewed in the next section) suggest that females may possess traits that make them better CEOs. Yet, the proportion of female CEOs and board members continues to lag.

Of Age, Sex, and Money: Insights from Corporate Officer Compensation on the Wage Inequality Between Genders

This paper shows that the gender and age of the wage setter are crucial determinants of the disparity in wages between sexes. We document our findings using a data set on compensation of corporate officers that is uniquely suited for this analysis because officer wages are set by chief executive officers (CEOs). We show that CEOs pay officers of the opposite gender less than officers of their own gender, even when controlling for job characteristics. Older and male CEOs exhibit the greatest propensity to differentiate on the basis of sex. Female officers receive smaller raises if the firm is headed by a man. Our results suggest that CEO gender and age are economically more important determinants of officer compensation than are firm stock performance, stock volatility, or return on assets. This paper was accepted by Uri Gneezy, behavioral economics.

Manager Characteristics and the Choice of Firm “Low Leverage”: Evidence from China

In this paper, we analyze the low-leverage phenomenon of firms and examine the question of why some firms have low leverage in China. We find Low-leverage firms are smaller, have higher profitability and hold more cash balances than control firms chosen by industry and size. Our evidence supports the hypothesis that these firms are operated by risk-aversion manager. Firms with older Chief Executive Officer (CEO) and higher first shareholder ownership are more likely to have low debt. Also, CEO gender is one of the determinants of low-leverage choice.

The Relationship Between CEO Gender, Financial Performance, And Financial Management

In recent years, the number of female Chief Executive Officers (CEOs) at large firms has increased to the point that it is possible to statistically compare the performance and management characteristics of firms managed by CEOs of different genders. This paper is an exploratory study that examines the relationship between CEO gender and the performance and management of publicly traded firms. We use a large dataset of annual Forbes CEO data, combined with Compustat data, covering the time period of 1997 to 2006. Our results show that CEO gender is related to a number of factors including inside ownership and return on assets.

Does Educational Background Affect CEO Compensation And Firm Performance?

<p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt; mso-pagination: none;"><span style="color: black; mso-themecolor: text1;"><span style="font-size: x-small;"><span style="font-family: Times New Roman;">This paper examines the educational background of Chief Executive Officers (CEOs) from large U.S. firms. Forbes CEO compensation lists and Compustat data covering 500 or more firms annually are utilized in the analysis for the period 1997-2006.<span style="mso-spacerun: yes;">  </span>Universities are ranked based on the number of graduates placed in top CEO positions and of the total compensation their graduates earn as CEO.<span style="mso-spacerun: yes;">  </span>Results show a select group of schools educate a large proportion of top CEOs.<span style="mso-spacerun: yes;">  </span>Harvard dominates the CEO market at all educational levels.<span style="mso-spacerun: yes;">  </span>Results show low correlation between university placement rankings and compensation rankings.<span style="mso-spacerun: yes;">  </span>Regressions on CEO compensation provide additional insights into CEO compensation determinants. Regressions of CEO educational variables on firm performance measures identify links between CEO education and firm performance.<span style="mso-spacerun: yes;">  </span>This is the first known paper to examine CEO gender as a determinant of compensation and firm performance.<span style="mso-spacerun: yes;">  </span>The evidence here provides hiring and compensation committees valuable information on appropriate hiring, retention and compensation strategies.<span style="mso-spacerun: yes;">  </span>It also provides government officials additional insights for designing appropriate regulations.</span></span></span></p>

The CEO gender pay gap in the tourism industry—Evidence from Norway

This article compares the gender pay gap among chief executive officers (CEOs) in a sample of Norwegian tourism and manufacturing firms. More than 20% of the CEOs in tourism are women, as opposed to less than 6% in the sample of manufacturing firms. The results confirm that female CEOs are wage discriminated in both sectors. Nevertheless, the gender wage gap is larger in tourism because the female CEOs in this industry are employed in relatively smaller firms than is the case in manufacturing. The tourism industry offers women better odds of reaching the top, but the female CEOs are employed in smaller firms that offer less pay. This phenomenon could be evident at other levels and in other countries too. The results should induce the large female workforce in the tourism industry to pursue more challenging leadership positions.

CEO attributes associated with attitude toward change: The direct and moderating effects of CEO tenure

A chief executive's attitude toward change may be an important influence on an organization's strategy. In this study, we examine the experiential and demographic variables associated with a more liberal or conservative attitude toward change in a sample of Chief Executive Officers (CEOs) of non-profit organizations. We find that CEO tenure has a significant direct and modifying association with attitude toward change with the central tendency of CEOs to become more conservative as their tenure increases. In addition, CEO gender, functional background experience and diversity of functional experiences were also found to be associated with attitude toward change. With the exception of gender, however, the effect of these variables on attitude toward change diminishes as tenure increases.

The Structure of Ownership and the Theory of the Firm

The separation of ownership from control produces a condition where the interests of owner and of ultimate manager may, and often do, diverge, and where many of the checks which formerly operated to limit the use of power disappear.... In creating these new relationships, the quasi-public corporation may fairly be said to work a revolution. It ... has divided ownership into nominal ownership and the power formerly joined to it. Thereby the corporation has changed the nature of profit-seeking enterprise.1