CEO duality leadership and corporate diversification behavior
AbstractThis study examines an important, yet understudied relationship between CEO duality and corporate diversification. Results based on the data collected from Fortune 1000 U.S companies indicate that CEO duality is positively associated with corporate diversification into unrelated industries. Further analyses reveal that this relationship is moderated by a number of corporate governance mechanisms. We find that board equity ownership and institutional ownership concentration weaken the initially positive relationship between CEO duality and unrelated diversification while CEO tenure and board independence strengthen this relationship.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Business Research.
Volume (Year): 62 (2009)
Issue (Month): 11 (November)
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Web page: http://www.elsevier.com/locate/jbusres
CEO duality Unrelated diversification Corporate governance mechanisms;
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