Serving the people: Board’s communist ideology imprinting and CEO compensation

Ethan Xin Liu and David H. Weng

Journal of Business Research, 2025, vol. 189, issue C

Abstract: This study examines how communist ideology imprinting on board members influences CEO compensation. We contend that strong communist imprinting acquired during their formative years will induce board members to offer low CEO salaries because traditional communist ideology advocates both individual service to the public and amelioration of income equality in society. We also propose that this effect is lessened in economically developed regions but more pronounced in concentrated industries. Analyzing a sample of Chinese public firms, we find support for our arguments. Our findings suggest that communist ideology still prevails in today’s China, and that this prevalence can influence board-CEO interactions.

Keywords: Political ideology; Communist ideology; Imprinting; Board of directors; CEO compensation (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0148296324006738
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:189:y:2025:i:c:s0148296324006738

DOI: 10.1016/j.jbusres.2024.115169

Access Statistics for this article

Journal of Business Research is currently edited by A. G. Woodside

More articles in Journal of Business Research from Elsevier
Bibliographic data for series maintained by Catherine Liu ().