Effects of Ownership and Performance on Executive Tenure in U.S. Corporations

Abstract
The relationship between executive tenure and selected company characteristics was examined for 84 U.S. corporations. Among other findings, performance measures were related to the tenure of the chief executive depending on the concentration of stock ownership. Tenure was unrelated to performance for owner managed firms, was related positively to profit margins for externally controlled firms, and was related positively to stock market rates of return for management controlled firms.

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