143
Views
0
CrossRef citations to date
0
Altmetric
Research Article

Impact of Managerial Discretion “Stranglehold” on Enterprises Investment Efficiency: Based on Heterogeneous Stochastic Frontier Model

, ORCID Icon &

References

  • Arnold, M. C., and I. D. Tafkov. 2019. Managerial discretion and task interdependence in teams. Contemporary Accounting Research 36 (4):2467–93. doi:10.1111/1911-3846.12504.
  • Battese, G. E., and T. J. Coelli. 1988. Prediction of firm-level technical efficiencies with a generalized frontier production function and panel data. Journal of Econometrics 38 (3):387–99. doi:10.1016/0304-4076(88)90053-x.
  • Benmelech, E., E. Kandel, and P. Veronesi. 2010. Stock-based compensation and CEO (dis)incentives. Quarterly Journal of Economics 125 (4):1769–820. doi:10.1162/qjec.2010.125.4.1769.
  • Bourgeois, L. J. 1981. On the measurement of organizational slack. Academy of Management Review 6 (1):29–39. doi:10.5465/AMR.1981.4287985.
  • Boyd, B. K. 1995. CEO duality and firm performance: A contingency model. Strategic Management Journal 16 (4):301–12. doi:10.1002/smj.4250160404.
  • Campbell, J. T., T. C. Campbell, D. G. Sirmon, L. Bierman, and C. S. Tuggle. 2012. Shareholder influence over director nomination via proxy access: Implications for agency conflict and stakeholder value. Strategic Management Journal 33 (12):1431–51. doi:10.1002/smj.1989.
  • Chen, Z. B., and G. Z. Wang. 2020. CEO discretion and enterprise investment efficiency. Accounting Research 12:85–98. CNKI: SUN: KJYJ.0.2020-12-007.
  • Chirinko, R. S., and H. Schaller. 1995. Why does liquidity matter in investment equations? Journal of Money, Credit and Banking 27 (2):527–48. doi:10.2307/2077882.
  • Crossland, C., and D. C. Hambrick. 2007. How national systems differ in their constraints on corporate executives: A study of CEO effects in three countries. Strategic Management Journal 28 (8):767–89. doi:10.1002/smj.610.
  • Dess, G. G., and D. W. Beard. 1984. Dimensions of organizational task environments. Administrative Science Quarterly 29 (1):52–73. doi:10.2307/2393080.
  • DiMaggio, P. J., and W. W. Powell. 1983. The iron cage revisited: Institutional isomorphism and collective rationality in organizational fields. American Sociological Review 48 (2):147–60. doi:10.2307/2095101.
  • Dong, J., and Y. N. Gou. 2010. Corporate governance structure, managerial discretion, and the R&D investment in China. International Review of Economics & Finance 19 (2):180–88. doi:10.1016/j.iref.2009.10.001.
  • Eisenhardt, K. M. 1989. Agency theory: An assessment and review. Academy of Management Review 14 (1):57–74. doi:10.5465/amr.1989.4279003.
  • Finkelstein, S., and B. K. Boyd. 1998. How much does the CEO matter? The role of managerial discretion in the setting of CEO compensation. Academy of Management Journal 41 (2):179–99. doi:10.2307/257101.
  • Finkelstein, S., and D. C. Hambrick. 1990. Top-Management-Team tenure and organizational outcomes: The moderating role of managerial discretion. Administrative Science Quarterly 35 (3):484–503. doi:10.2307/2393314.
  • Finkelstein, S., and M. A. Peteraf. 2007. Managerial activities: A missing link in managerial discretion theory. Strategic Organization 5 (3):237–48. doi:10.1177/1476127007079975.
  • Hambrick, D. C., and E. Abrahamson. 1995. Assessing managerial discretion across industries: A multimethod approach. Academy of Management Journal 38 (5):1427–41. doi:10.2307/256864.
  • Hambrick, D. C., and S. Finkelstein. 1987. Managerial discretion: A bridge between polar views of organizational outcomes. Research in Organizational Behavior 9 (4):369–406.
  • Hambrick, D. C., and P. A. Mason. 1984. Upper echelons: The organization as a reflection of its top managers. Academy of Management Review 9 (2):193–206. doi:10.2307/258434.
  • Hayashi, F. 1982. Tobin’s marginal q and average a: A neoclassical interpretation. Econometrica 50 (1):224–313. doi:10.2307/1912538.
  • Hsu, C., W. Lai, and S. Yen. 2019. Boardroom diversity and operating performance: The moderating effect of strategic change. Emerging Markets Finance and Trade 55 (11):2448–72. doi:10.1080/1540496X.2018.1519414.
  • Hu, J. X., and Q. Q. Yin. 2018. “Stranglehold” or not: Review of managerial discretion adjustment. Economic Management 40 (5):193–208. doi:10.19616/j.cnki.bmj.2018.05.012.
  • Keats, B. W., and M. A. Hitt. 1988. A causal model of linkages among environmental dimensions, macro organizational characteristics, and performance. Academy of Management Journal 31 (3):570–98. doi:10.2307/256460.
  • Kim, K. S., J. H. Lee, and C. Y. Chung. 2015. Accrual quality and opportunistic seasoned equity offering in the Korean stock market. Emerging Markets Finance and Trade 51 (3):140–57. doi:10.1080/1540496X.2015.1026732.
  • Li, J., and R. Tang. 2010. CEO hubris and firm risk taking in China: The moderating role of managerial discretion. Academy of Management Journal 53 (1):45–68. doi:10.5465/AMJ.2010.48036912.
  • Lian, Y. J., and Z. Su. 2009. Financial constraints, uncertainty and firms’ investment efficiency. Business Review 21 (1):19–26. CNKI: SUN: ZWGD.0.2009-01-004.
  • Lian, Y. L., B. Zhou, X. G. He, and D. W. Wen. 2015. Performance aspiration, managerial discretion and strategic change. Economic Research Journal 50 (8):31–44. CNKI: SUN: JJYJ.0.2015-08-004.
  • Ponomareva, Y., and T. Umans. 2015. An integrative view on managerial discretion: A study of a Russian firm in transition. Journal of East European Management Studies 20 (1):36–67. doi:10.5771/0949-6181-2015-1-36.
  • Quigley, T. J., and D. C. Hambrick. 2012. When the former CEO stays on as board chair: Effects on successor discretion, strategic change, and performance. Strategic Management Journal 33 (7):834–59. doi:10.1002/smj.1945.
  • Sahaym, A., L. J. Trevino, and H. K. Steensma. 2012. The influence of managerial discretion, innovation and uncertainty on export intensity: A real options perspective. International Business Review 21 (6):1131–47. doi:10.1016/j.ibusrev.2012.01.003.
  • Shen, W., and T. S. Cho. 2005. Exploring involuntary executive turnover through a managerial discretion framework. Academy of Management Review 30 (4):843–54. doi:10.2307/20159171.
  • Shen, H. H., and H. Zhang. 2013. CEO risk incentives and firm performance following R&D increases. Journal of Banking & Finance 37 (4):1176–94. doi:10.1016/j.jbankfin.2012.11.018.
  • Staw, B. M., and E. Szwajkowski. 1975. The scarcity-munificence component of organizational environments and the commission of illegal acts. Administrative Science Quarterly 20 (3):345–54. doi:10.2307/2391995.
  • Stulz, R. M. 1990. Managerial discretion and optimal financing policies. Journal of Financial Economics 26 (1):3–27. doi:10.1016/0304-405X(90)90011-N.
  • Tzioumis, K. 2011. Why do firms adopt CEO stock options? Evidence from the United States. Journal of Economic Behavior & Organization 68 (1):100–11. doi:10.1016/j.jebo.2007.06.008.
  • Vanacker, T., V. Collewaert, and S. A. Zahra. 2016. Slack resources, firm performance, and the institutional context: Evidence from privately held European firms. Strategic Management Journal 38 (6):1305–26. doi:10.1002/smj.2583.
  • Wang, J., Y. Lu, and Z. Z. Zhu. 2013. Does stock option plan induce over-investment? Evidence from listed companies of manufacturing on SMIE board market in China. Auditing & Economic Research 28 (5):70–79. CNKI: SUN: SJYJ.0.2013-05-009.
  • Wangrow, D. B., D. J. Schepker, and V. L. Barker. 2015. Managerial discretion: An empirical review and focus on future research directions. Journal of Management 41 (1):99–135. doi:10.1177/0149206314554214.
  • Williamson, O. E. 1963. Managerial discretion and business behavior. American Economic Review 53 (5):1032–57.
  • Wu, J. F., and R. T. Tu. 2007. CEO stock option pay and R&D spending: A behavioral agency explanation. Journal of Business Research 60 (5):482–92. doi:10.1016/j.jbusres.2006.12.006.
  • Xu, D. Y., and C. H. Zhou. 2004. Evaluation of the research status of strategic management in China. Management World 05:76–87. doi:10.19744/j.cnki.11-1235/f.2004.05.009.
  • Zhang, C. Z., and H. Z. Li. 2008. Summary of research on manager autonomy in corporate governance. Soft Science 5:33–38. doi:10.3969/j.1001-8409.2008.05.008.

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.