Does political risk affect managerial ability?

Lori N.K. Leonard and Li Sun

Journal of Accounting & Organizational Change, 2025, vol. 22, issue 2, 354-377

Abstract: PurposeThis study aims to examine the relation between firm-level political risk and managerial ability.Design/methodology/approachThis study uses regression analysis to explore firm-level political risk’s influence on managerial ability.FindingsThe findings exhibit a significant and positive relationship between firm-level political risk and managerial ability, suggesting that firms facing increased political risk demonstrate stronger managerial ability.Originality/valueThis study extends the body of research exploring the impact of firm-level political risk on corporate behavior and outcomes.

Keywords: Political risks; Managerial ability; Earnings performance (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eme:jaocpp:jaoc-08-2024-0257

DOI: 10.1108/JAOC-08-2024-0257

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