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CEOs’ uncommon names and corporate innovation

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  • Yuqi Gu

Abstract

I study the relationship between a Chief Executive Officer (CEO)’s uncommon name and corporate innovation. Consistent with the view that individuals with uncommon names prefer being distinctive, I document a significant positive relationship between CEO name uncommonness and corporate innovation quantity but not quality. To mitigate endogeneity concerns, I use the death of the CEO as a plausible exogenous shock and find results are robust in the difference-in-differences setting. I further show that the impact on innovation output is concentrated in the areas that are well-known to the company, of low economic value, and have a low scientific impact. Overall, the findings presented in this paper suggests that the heightened innovation activities by uncommonly named CEO exacerbate the investment distortions.

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  • Yuqi Gu, 2022. "CEOs’ uncommon names and corporate innovation," Cogent Economics & Finance, Taylor & Francis Journals, vol. 10(1), pages 2147646-214, December.
    • Handle: RePEc:taf:oaefxx:v:10:y:2022:i:1:p:2147646
    DOI: 10.1080/23322039.2022.2147646
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