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Die Veränderung der wirtschaftlichen Lage im Verlauf eines Wechsels an der Unternehmensspitze

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  • Jens Leker

    (Christian-albrechts-Universität zu Kiel)

  • Sören Salomo

    (Christian-albrechts-Universität zu Kiel)

Abstract

Summary This article examins the influence of CEO changes in big german companies on their financial statements two years prior and three years after the executive turnover. It is shown that conflicting results of prior research might be based on the lack of differing for turnover-reasons. Companies with unvoluntary changes of the CEO realize a different evolution of performance than companies with CEOs changing voluntarily or for reason like retirement or death. A closer examination of the “unvoluntary change-companies” reveals significant patterns of performance both over the years and in relation to a group of companies without an equivalent CEO-change. The data seems to prove that companies experience a so called “financial bath” in situations of unvoluntary CEO turnover.

Suggested Citation

  • Jens Leker & Sören Salomo, 1998. "Die Veränderung der wirtschaftlichen Lage im Verlauf eines Wechsels an der Unternehmensspitze," Schmalenbach Journal of Business Research, Springer, vol. 50(2), pages 156-177, February.
    • Handle: RePEc:spr:sjobre:v:50:y:1998:i:2:d:10.1007_bf03371498
    DOI: 10.1007/BF03371498
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    References listed on IDEAS

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    1. Coughlan, Anne T. & Schmidt, Ronald M., 1985. "Executive compensation, management turnover, and firm performance : An empirical investigation," Journal of Accounting and Economics, Elsevier, vol. 7(1-3), pages 43-66, April.
    2. Moore, Ml, 1973. "Management Changes And Discretionary Accounting Decisions," Journal of Accounting Research, Wiley Blackwell, vol. 11(1), pages 100-107.
    3. Murphy, Kevin J. & Zimmerman, Jerold L., 1993. "Financial performance surrounding CEO turnover," Journal of Accounting and Economics, Elsevier, vol. 16(1-3), pages 273-315, April.
    4. Comte, Thomas E. & Mihal, William L., 1990. "CEO turnover: Causes and interpretations," Business Horizons, Elsevier, vol. 33(4), pages 47-51.
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