 Are both managerial morality and talent important to firm performance? Evidence from Chinese public firmsXiaozhen Pan and Hongfei Tang International Review of Financial Analysis, 2021, vol. 73, issue C Abstract: Morality and talent are two important factors to consider when selecting managers. This study examines the relation among managerial morality, talent, and firm performance by manually collecting morality data in a sample of non-financial Chinese public firms during 2008–2018. We find that both managerial morality and talent are important to firm performance. In particular, managerial morality is positively associated with firm performance regardless of ownership or legal environment, but managerial talent is associated with better firm performance only in non-state-owned enterprises and in a strong legal environment. On the other hand, managerial talent cannot improve or may even harm firm performance when managerial morality is low, but managerial talent can improve firm performance when managerial morality is high. Keywords: Managerial morality; Managerial talent; Firm performance; Chinese public firms (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:finana:v:73:y:2021:i:c:s1057521920302453 DOI: 10.1016/j.irfa.2020.101602 Access Statistics for this article International Review of Financial Analysis is currently edited by B.M. Lucey More articles in International Review of Financial Analysis from Elsevier |
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