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VIETNAM NATIONAL UNIVERSITY HO CHI MINH CITY INTERNATIONAL UNIVERSITY SCHOOL OF BUSINESS THE RELATIONSHIP BETWEEN CEO DUALITY & FIRM PERFORMANCE: A STUDY OF LISTED FIRM ON HOSE In Partial Fulfillment.

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Therefore, the CEO's power and leadership – which can effectuate the board's knowledge and cognitive ability – is a salient issue. CEOs who are also board chairs have what is called “CEO duality,” which implies stronger CEO power, whereas non-duality reflects weaker CEO power (Finkelstein, 1992).

What is CEO duality? CEO duality is a business practice where the CEO of a company also serves as the chairman of the board of directors. Under this condition, the CEO is able to leverage significant executive power to make critical business decisions in a more timely manner.

Specifically, longer-tenured CEOs are associated with decreasing percentage of exploratory innovation, and an increasing percentage of exploitative innovation. Furthermore, CEOs without duality are associated with a higher percentage of exploitative innovation than those with duality.

Agency theory believes that CEO duality weakens board control and promotes CEO entrenchment. Therefore, CEO duality has negative implications for firm performance. On the other hand, stewardship scholars assume that managers are diligent stewards of the company.

Abstract: CEO duality is the practice in which the Chief Executive Officer (CEO) has both the presidency of the company as the chairman of its Board of Directors.

Segregation of Duty: A strong power in the CEO duality actually is good because it can create a clear direction of a single leader, but on the other hand it is also a disadvantage of CEO duality. This is because if a person has enormous power within a company then it will create segregation of duty.

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Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232