Narcissism, director selection, and risk-taking spending

• 成果类型: Review
• 署名作者: Zhu, David H.; Chen, Guoli
• 署名单位: Arizona State University; Arizona State University-Tempe; INSEAD Business School
• 刊物名称: STRATEGIC MANAGEMENT JOURNAL
• ISSN/ISSBN: 0143-2095
• DOI: 10.1002/smj.2322
• 发表日期: 2015
• 页码: 2075-2098
• 关键词: director selection; CEO power; narcissism and personality; similarity-attraction; triads and social structure

摘要

We explain why CEOs favor new directors who are similar in narcissistic tendency or have prior experience with other similarly narcissistic CEOs. Because powerful CEOs are more able to select such individuals onto their boards, CEO power is predicted to be positively associated with the above characteristics of new directors. These associations are expected to be stronger when a new director is more different from the CEO in salient demographic characteristics. Moreover, we explain why new directors favored by CEOs are more supportive of their decision making, strengthening the positive relationship between CEO narcissism and risk-taking spending. Our findings provide considerable support for our theory. This study introduces personality theories to corporate governance research on director selection and to research on how triads influence dyadic relations. Copyright (c) 2014 John Wiley & Sons, Ltd.