The nexus of top executives' attributes, firm strategies, and outcomes: Large firms versus SMEs.

Based on a unique and extensive dataset of top executives, this study explores the effect of top executives' attributes on firm performance through strategic choices for capital structure and investments. The big five personalities and top executives' other four essential personal attributes are ide...

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Publicado en:Humanities & Social Sciences Communications Vol. 10; no. 1; pp. 1 - 16
Autores principales: Xie, Jun, Nozawa, Wataru, Managi, Shunsuke
Formato: Artículo
Publicado: Springer Nature 3/31/2023
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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      dt: 3/31/2023
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      pub: Springer Nature
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        10.1057/s41599-023-01628-8
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        atl: The nexus of top executives' attributes, firm strategies, and outcomes: Large firms versus SMEs.
      aug:
        au:
          Xie, Jun
          Nozawa, Wataru
          Managi, Shunsuke
        affil:
          Urban Institute & Department of Civil Engineering, Kyushu University, Fukuoka, Japan
          Department of Economics, Fukuoka University, Fukuoka, Japan
      su:
        Small business
        Executives
        Capital structure
        Organizational performance
        Mediation
      sug:
        subj:
          Small business
          Executives
          Capital structure
          Organizational performance
          Mediation
      ab: Based on a unique and extensive dataset of top executives, this study explores the effect of top executives' attributes on firm performance through strategic choices for capital structure and investments. The big five personalities and top executives' other four essential personal attributes are identified from over 970,000 observations in Japanese firms. We applied structural equational modeling to test the hypothesized mediation models and the differences across large, medium, and small-sized firms. The results show that top executives in small and medium-sized enterprises (SMEs) present stronger linkages with strategic choices, significantly mediating the relationship between top executives' attributes and firm performance. Specifically, top executives with higher conscientiousness, decisiveness, and financial prudence tend to choose conservative strategies, while those with higher neuroticism, openness, and agreeableness tend to adopt risky and innovative strategies. In contrast, top executives' attributes can hardly predict firm strategies and outcomes for large firms, and neither fails to predict firm outcomes in SMEs given the inconsistent mediation.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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