The Relationship Between CEO Duality and Business Firms’ Performance: The Moderating Role of Firm Size and Corporate Social Responsibility

Frontiers in Psychology

Jaffar Abbas¹  Susana Álvarez-Otero²  Muhammad Safdar Sial³  Riaqa Mubeen⁴  Dongping Han⁴ 

[1] Antai College of Economics and Management (ACEM), School of Media and Communication (SMC), Shanghai Jiao Tong University (SJTU), Shanghai, China;Department of Business Administration, Faculty of Economics and Business, University of Oviedo, Oviedo, Spain;Department of Management Sciences, COMSATS University Islamabad (CUI), Islamabad, Pakistan;School of Management, Harbin Institute of Technology (HIT), Harbin, China;

关键词: corporate social responsibility;    CEO duality;    firm size;    board of directors;    firm performance;   

DOI  :  10.3389/fpsyg.2021.669715

来源: DOAJ

【 摘 要 】

This study focuses on exploring the relationship between chief executive officer (CEO) duality and firm performance. We focus on how the size and corporate social responsibility (CSR) of firms moderate this relationship. In terms of size, business organizations are of two types: small and large firms. This study uses datasets of listed Chinese business firms included in the China Stock Market and Accounting Research database. It employs a generalized method of moment’s technique to explore the connection between CEO duality and the performance of Chinese business firms through double mediation effects. Our empirical analysis showed that CEO duality has a significant negative relationship with firm performance. We also explored the moderating effects of firm size (small and large) and CSR practices on the relationship between CEO duality and improved performance of Chinese firms. Large firms and CSR practices showed significant and positive moderating effects on the relationship between CEO duality and firm performance. Conversely, with CEO duality, small firms showed a negative moderating influence on firm performance. This inclusive model provides valuable insights into how the dual role of the CEO of a firm affected the performance of Chinese firms through the moderating role of CSR practices and firm size for better business performance. The study offers empirical and theoretical contributions to the corporate governance literature. This research framework might help researchers in designing robust strategies to evaluate the effects on firm performance. Researchers may gain helpful insights using this methodology.

【 授权许可】

Unknown