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Optimizing Executive Cash Bonuses: The Nonlinear Impact of Executive Cash Bonuses and Strategic Fit

open access: yesJournal of Corporate Accounting &Finance, EarlyView.
ABSTRACT This study examines how aligning executive cash bonuses with firm strategic orientation influences firm performance. While prior research mainly focuses on stock‐based incentives and linear effects, we address critical gaps by analyzing cash bonuses and exploring nonlinear relationships using polynomial regression and response surface analysis.
Yao‐Tien Lee   +3 more
wiley   +1 more source

Nonfinancial Performance Metrics in Executive Pay and Corporate Risk‐Taking—Evidence From S&P 500 Firms

open access: yesJournal of Corporate Accounting &Finance, EarlyView.
ABSTRACT This study examines the implications of the use of nonfinancial performance metrics in executive compensation (hereafter, NFPM‐linked pay) on corporate risk‐taking and firm performance in subsequent periods. Using hand‐collected data on the performance metric choices of S&P 500 firms and a comprehensive set of proxies for corporate risk‐taking,
Wan‐Ting (Alexandra) Wu
wiley   +1 more source

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