The Anglo-American financial influence on CEO compensation in non-Anglo-American firms

• 成果类型: Article
• 署名作者: Oxelheim, L; Randoy, T
• 署名单位: Lund University; Research Institute of Industrial Economics (IFN); University of Agder
• 刊物名称: JOURNAL OF INTERNATIONAL BUSINESS STUDIES
• ISSN/ISSBN: 0047-2506
• DOI: 10.1057/palgrave.jibs.8400144
• 发表日期: 2005
• 页码: 470-483
• 关键词: ceo compensation; internationalisation; corporate governance; CEO TENURE; Cross-listing; foreign board membership; dismissal risk

摘要

This study examines the impact of Anglo-American financial markets on CEO compensation. Starting from a sample of Norwegian and Swedish listed firms, we analyse this effect as manifested in the capital market (Anglo-American cross-listing) and in the market for corporate control (Anglo-American board membership). These effects are analysed together with the geographically broader effect of the product and service market internationalisation of the firm. We conclude that all three effects contribute positively to the level of CEO compensation. We argue that the higher CEO compensation found in firms exposed to Anglo-American financial influence - as compared with firms not subject to such influence - reflects institutional contagion, the demand for and supply of viable CEO candidates, and a pay premium for increased risk of dismissal.