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CEO founder status and firm financial performance
Author(s) -
Jayaraman Narayanan,
Khorana Ajay,
Nelling Edward,
Covin Jeffrey
Publication year - 2000
Publication title -
strategic management journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 11.035
H-Index - 286
eISSN - 1097-0266
pISSN - 0143-2095
DOI - 10.1002/1097-0266(200012)21:12<1215::aid-smj146>3.0.co;2-0
Subject(s) - stock (firearms) , founder effect , business , economics , management , history , biochemistry , archaeology , genotype , haplotype , gene , chemistry
Founders create their organizations, yet are often expected to eventually become liabilities to these same organizations. Past empirical research on the relationship between CEO founder status (i.e., is the CEO also the founder?) and firm performance has yielded inconsistent results. This study of 94 founder‐ and nonfounder‐managed firms finds that founder management has no main effect on stock returns over a 3‐year holding period, but that firm size and firm age moderate the CEO founder status–firm performance relationship. Copyright © 2000 John Wiley & Sons, Ltd.