Proceedings of the 11th International Conference on Opportunities and Challenges in Management, Economics and Accounting
Year: 2024
DOI:
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The impact of CEO’s overseas experience on stock performance: Evidence from China
Shuning Gao
ABSTRACT:
CEO’s characteristics is vital for firm performance. This study examines how CEO’s overseas experience influence the firm’s risk-adjusted stock performance. With a sample of Chinese Ashare firms from 2013 to 2022, we find that the CEO’s overseas experience positively impact firm stock performance, and we further find that this positive relationship is enhanced in state-owned enterprises (SOE), but in non-state-owned enterprises (Non-SOE), CEO’s overseas experience has a negative impact on stock performance. Adding consideration of industry competition, our study find it negatively moderates the relationship between CEO’s overseas experiences and stock performance. This study contributes to CEO’s characteristics power literature in a financial view, through link CEO characteristics directly with firm performance. It provides practical reference for investors when they are making the decision considering management information, and it also support the positive impact of diverse background of CEOs on the firm’s management outcomes.
keywords: CEO Characteristics, CEO’s Overseas Experience, Stock Performance, SOE , China