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The authors examine the role of stock liquidity in CEO equity compensation design. For a sample of publicly traded firms from 2007 to 2020, the authors find that greater stock liquidity is associated with a higher proportion of stock awards relative to the proportion of options in CEO equity compensation. The results of this study suggest that stock price informativeness on the grant date has a differential effect on the preference for the type of equity compensation awarded to CEOs. The empirical results are supported by multivariate analyses using alternative measures of stock liquidity and a two-stage least squares (2SLS) specification that alleviates endogeneity concerns. Furthermore, the authors document that the firm-specific increase in the proportion of stock awards compared to the proportion of stock options is associated with a firm-specific increase in stock liquidity. Collectively, the analyses suggest that stock liquidity as a measure of stock price informativeness contributes to the choice of CEO equity compensation design.

This article reviews existing studies of the invisible college phenomenon and considers the implications for information transfer among researchers, particularly within the social sciences. The likely impact of developments in communications technology on interpersonal networks is discussed and a number of areas for further investigation proposed.

This chapter reviews marketing scholarship on environmental sustainability. The literature covers several themes of both consumer behavior and firm-level topics. Consumer issues include their assessment of efficacy and the extent to which they are aware and sensitive to environmental issues. Numerous interventions and marketing appeals for modifying attitudes and behaviors have been tested and are reported. Consumers and business managers have both been queried regarding attitudes of recycling and waste. Firm-level phenomena are reflected, including how brand managers can signal their green efforts to their customers, whether doing so is beneficial, all in conjunction with macro pressures or constraints from industry or governmental agencies. This chapter closes with a reflection on the research.

A dynamic oligopoly model of the cigarette industry is developed to study the responses of firms to various antismoking policies and to estimate the implications for the policy efficacy. The structural parameters are estimated using a combination of micro and macro level data and firms’ optimal price and advertising strategies are solved as a Markov Perfect Nash Equilibrium. The simulation results show that tobacco tax increase reduces both the overall smoking rate and the youth smoking rate, while advertising restrictions may increase the youth smoking rate. Firm’s responses strengthen the impact of antismoking policies in the short run.

Internal capital markets of diversified firms have been associated with inefficient allocation of investment funds across divisions, leading to value losses. Utilizing a sample of diversified firms that adopted or eliminated Residual Income (RI) plans between 1990 and 2009, we show that adoptions of these plans mitigate investment distortions and lead to value gains. Following the adoption of RI plans, diversified firms start allocating investment funds based on growth opportunities of their divisions. RI plan adopters lower their divisional investment levels, especially in segments with below-average growth opportunities. The overall investment allocation efficiency improves, and the diversification discount diminishes after the adoption of RI plans. However, RI plans appear to be used only as temporary tools for assessing corporate performance. The plans are adopted primarily by firms expected to immediately generate plan bonuses for management, and they are frequently eliminated by firms with bad accounting performance and low managerial bonuses. The study contributes to the literature on organizational efficiency, internal capital markets, and on the importance of measures based on economic profits or RI.

A behavioural approach to information retrieval system design is outlined based on the derivation of a behavioural model of the information seeking patterns of academic social scientists. The information seeking patterns of a variety of academic social scientists were broken down into six characteristics: starting, chaining, browsing, differentiating, monitoring, and extracting. These characteristics constitute the principal generic features of the different individual patterns, and together provide a flexible behavioural model for information retrieval system design. The extent to which these characteristics are available on existing systems is considered, and the requirements for implementing the features on an experimental system are set out.

The purpose of this paper is to examine the asymmetric behavior between CEO pay and firm performance in Nigeria.

The study adopts a two-step dynamic panel generalized method of moments (GMM) to reveal asymmetric responses of CEO pay to positive and negative shocks in firm performance.

The research outcomes of a two-step dynamic panel GMM) adopted reveal asymmetric responses of CEO pay to positive and negative shocks in firm performance. This implies that CEOs are handsomely compensated for good performance, but not punished for poor performance.

The study, therefore, suggests that CEO pay fails to serve as an internal corporate governance mechanism to alleviate agency problem in Nigeria’s listed firms.