How do the combined effects of CEO decision horizon and compensation impact the relationship between earnings pressure and R&D retrenchment?

被引：23
|
作者：
Lee, Cheng-Yu [1 ]
Chang, Heng-Yu [2 ]
机构：
[1] Southern Taiwan Univ Sci & Technol, Dept Management & Informat Technol, Tainan 710, Taiwan
[2] Chang Gung Univ, Dept Ind & Business Management, Kwei Shan Township 333, Tao Yuan County, Taiwan
来源：
TECHNOLOGY ANALYSIS & STRATEGIC MANAGEMENT | 2014年 / 26卷 / 09期
关键词：
earnings pressure; CEO decision horizon; stock ownership; stock option; R&D retrenchment; TOP MANAGEMENT TEAM; MANAGERIAL OWNERSHIP; CAREER HORIZON; INCENTIVES; INVESTMENT; MATTER; TERM;
D O I：
10.1080/09537325.2014.944149
中图分类号：
C93 [管理学];
学科分类号：
12 ; 1201 ; 1202 ; 120202 ;
摘要：
Although relevant literature has been accumulated, how earnings pressure from stock analysts affects a firm's innovation expenditures remains unclear. In order to make this relationship more clear, this study investigates the impact of earnings pressure on a firm's research and development (R&D) investment by considering the combined effects of CEOs' decision horizon and incentives. Our hypotheses were tested by firms from the S&P 1500 during the period from 2000 to 2012. The findings reveal that earnings pressure has a detrimental effect on a firm's R&D investment, and also that it goes worse when CEOs have a shorter decision horizon. However, when it comes to compensation incentives, we found that either CEOs equipped with higher stock ownership or fewer stock options can reduce the adverse effect of a shorter decision horizon on the relationship between earnings pressure and R&D retrenchment.
引用
收藏
页码：1057 / 1071
页数：15
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