CINXE.COM
The Chairman of the Board – Leader or Lame Duck? An Empirical Analysis of the Importance of the Chairman in US Firms | Australian Academy of Accounting and Finance Review
<!DOCTYPE html> <html lang="en-US" xml:lang="en-US"> <head> <meta charset="utf-8"> <meta name="viewport" content="width=device-width, initial-scale=1.0"> <title> The Chairman of the Board – Leader or Lame Duck? An Empirical Analysis of the Importance of the Chairman in US Firms | Australian Academy of Accounting and Finance Review </title> <meta name="generator" content="Open Journal Systems 3.3.0.13"> <link rel="schema.DC" href="http://purl.org/dc/elements/1.1/" /> <meta name="DC.Creator.PersonalName" content="Dominik Jurek"/> <meta name="DC.Date.created" scheme="ISO8601" content="2024-03-30"/> <meta name="DC.Date.dateSubmitted" scheme="ISO8601" content="2024-03-30"/> <meta name="DC.Date.issued" scheme="ISO8601" content="2024-03-30"/> <meta name="DC.Date.modified" scheme="ISO8601" content="2024-03-30"/> <meta name="DC.Description" xml:lang="en" content="Academic literature generally views the chairman of the board as a mere additional title for the CEO. I critically review this concept and explore a distinct chairman effect on company performance. For this purpose, I examine policy variable changes and stock market reactions to chairman turnovers for large US companies between 1998 and 2012. I find that chairman-CEOs are more entrenched and preserve their empire until their retirement. The chairman has only limited relevance to large companies, but for small companies, the chairman provides valuable knowledge and guidance. Keywords: Chairman of the Board; Duality; Entrenchment Australian Academy of Accounting and , volume 6, issue 1, January 2024, pp 1-67"/> <meta name="DC.Format" scheme="IMT" content="application/pdf"/> <meta name="DC.Identifier" content="188"/> <meta name="DC.Identifier.pageNumber" content="1-67"/> <meta name="DC.Identifier.URI" content="https://journalshosting.com/aabljournals/index.php/aaafr/article/view/188"/> <meta name="DC.Language" scheme="ISO639-1" content="en"/> <meta name="DC.Rights" content="Copyright (c) 2024 Dominik Jurek"/> <meta name="DC.Rights" content="https://creativecommons.org/licenses/by/4.0"/> <meta name="DC.Source" content="Australian Academy of Accounting and Finance Review"/> <meta name="DC.Source.ISSN" content="2205-6688"/> <meta name="DC.Source.Issue" content="1"/> <meta name="DC.Source.Volume" content="6"/> <meta name="DC.Source.URI" content="https://journalshosting.com/aabljournals/index.php/aaafr"/> <meta name="DC.Subject" xml:lang="en" content="Chairman of the Board"/> <meta name="DC.Subject" xml:lang="en" content="Duality"/> <meta name="DC.Subject" xml:lang="en" content="Entrenchment"/> <meta name="DC.Title" content="The Chairman of the Board – Leader or Lame Duck? An Empirical Analysis of the Importance of the Chairman in US Firms"/> <meta name="DC.Type" content="Text.Serial.Journal"/> <meta name="DC.Type.articleType" content="Articles"/> <meta name="gs_meta_revision" content="1.1"/> <meta name="citation_journal_title" content="Australian Academy of Accounting and Finance Review"/> <meta name="citation_journal_abbrev" content="AAAFR"/> <meta name="citation_issn" content="2205-6688"/> <meta name="citation_author" content="Dominik Jurek"/> <meta name="citation_title" content="The Chairman of the Board – Leader or Lame Duck? An Empirical Analysis of the Importance of the Chairman in US Firms"/> <meta name="citation_language" content="en"/> <meta name="citation_date" content="2024/03/30"/> <meta name="citation_volume" content="6"/> <meta name="citation_issue" content="1"/> <meta name="citation_firstpage" content="1"/> <meta name="citation_lastpage" content="67"/> <meta name="citation_abstract_html_url" content="https://journalshosting.com/aabljournals/index.php/aaafr/article/view/188"/> <meta name="citation_keywords" xml:lang="en" content="Chairman of the Board"/> <meta name="citation_keywords" xml:lang="en" content="Duality"/> <meta name="citation_keywords" xml:lang="en" content="Entrenchment"/> <meta name="citation_pdf_url" content="https://journalshosting.com/aabljournals/index.php/aaafr/article/download/188/189"/> <link rel="stylesheet" href="https://journalshosting.com/aabljournals/index.php/aaafr/$$$call$$$/page/page/css?name=bootstrapTheme-spacelab" type="text/css" /><link rel="stylesheet" href="https://journalshosting.com/aabljournals/public/journals/1/styleSheet.css?d=2023-01-12+16%3A30%3A55" type="text/css" /> </head> <body class="pkp_page_article pkp_op_view has_site_logo"> <div class="pkp_structure_page"> <nav id="accessibility-nav" class="sr-only" role="navigation" aria-label="Quick jump to page content"> <ul> <li><a href="#main-navigation">Main Navigation</a></li> <li><a href="#main-content">Main Content</a></li> <li><a href="#sidebar">Sidebar</a></li> </ul> </nav> <header class="navbar navbar-default" id="headerNavigationContainer" role="banner"> <div class="container-fluid"> <div class="row"> <nav aria-label="User Navigation"> <ul id="navigationUser" class="nav nav-pills tab-list pull-right"> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/user/register"> Register </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/login"> Login </a> </li> </ul> </nav> </div><!-- .row --> </div><!-- .container-fluid --> <div class="container-fluid"> <div class="navbar-header"> <button type="button" class="navbar-toggle collapsed" data-toggle="collapse" data-target="#nav-menu" aria-expanded="false" aria-controls="nav-menu"> <span class="sr-only">Toggle navigation</span> <span class="icon-bar"></span> <span class="icon-bar"></span> <span class="icon-bar"></span> </button> <div class="site-name"> <a href=" https://journalshosting.com/aabljournals/index.php/aaafr/index " class="navbar-brand navbar-brand-logo"> <img src="https://journalshosting.com/aabljournals/public/journals/1/pageHeaderLogoImage_en_US.png" alt="AAAFR "> </a> </div> </div> <nav id="nav-menu" class="navbar-collapse collapse" aria-label="Site Navigation"> <ul id="main-navigation" class="nav navbar-nav"> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr"> HOME </a> </li> <li class=" dropdown"> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/about" class="dropdown-toggle" data-toggle="dropdown" role="button" aria-haspopup="true" aria-expanded="false"> ABOUT <span class="caret"></span> </a> <ul class="dropdown-menu "> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/about"> About the Journal </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/aims-and-scope"> Aims and Scope </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/about/editorialTeam"> Editorial Team </a> </li> </ul> </li> <li class=" dropdown"> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/volumes-and-issues" class="dropdown-toggle" data-toggle="dropdown" role="button" aria-haspopup="true" aria-expanded="false"> VOLUMES AND ISSUES <span class="caret"></span> </a> <ul class="dropdown-menu "> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/issue/current"> Online First </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/issue/current"> Current </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/issue/archive"> Archives </a> </li> </ul> </li> <li class=" dropdown"> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/author-resources" class="dropdown-toggle" data-toggle="dropdown" role="button" aria-haspopup="true" aria-expanded="false"> AUTHOR RESOURCES <span class="caret"></span> </a> <ul class="dropdown-menu "> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/author-gudelines"> Author Gudelines </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/about/submissions"> Submissions </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/review-process"> Peer Review Process </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/copyright-policy"> Copyright Policy </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/open-access-policy"> Open Access Policy </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/apc"> Article Processing Charge (APC) </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/about/privacy"> Privacy Statement </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/announcement"> Announcements </a> </li> <li class=""> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/contact"> Contact </a> </li> </ul> </li> </ul> <div class="pull-md-right"> <form class="navbar-form navbar-left" role="search" method="post" action="https://journalshosting.com/aabljournals/index.php/aaafr/search/search"> <div class="form-group"> <input class="form-control" name="query" value="" type="search" aria-label="Search Query" placeholder=""> </div> <button type="submit" class="btn btn-default">Search</button> </form> </div> </nav> </div><!-- .pkp_head_wrapper --> </header><!-- .pkp_structure_head --> <div class="pkp_structure_content container"> <main class="pkp_structure_main col-xs-12 col-sm-10 col-md-8" role="main"> <div class="page page_article"> <nav class="cmp_breadcrumbs" role="navigation" aria-label="You are here:"> <ol class="breadcrumb"> <li> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/index"> Home </a> </li> <li> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/issue/archive"> Archives </a> </li> <li> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/issue/view/33"> Vol. 6 No. 1 (2024): Australian Academy of Accounting and Finance Review </a> </li> <li class="active"> Articles </li> </ol> </nav> <article class="article-details"> <header> <h1 class="page-header"> The Chairman of the Board – Leader or Lame Duck? An Empirical Analysis of the Importance of the Chairman in US Firms </h1> </header> <div class="row"> <section class="article-sidebar col-md-4"> <h2 class="sr-only">Article Sidebar</h2> <div class="download"> <a class="galley-link btn btn-primary pdf" role="button" href="https://journalshosting.com/aabljournals/index.php/aaafr/article/view/188/189"> PDF </a> </div> <div class="list-group"> <div class="list-group-item date-published"> <strong>Published:</strong> Mar 30, 2024 </div> <div class="list-group-item keywords"> <strong> Keywords:</strong> <div class=""> <span class="value"> Chairman of the Board Duality Entrenchment </span> </div> </div> </div> </section><!-- .article-sidebar --> <div class="col-md-8"> <section class="article-main"> <h2 class="sr-only">Main Article Content</h2> <div class="authors"> <div class="author"> <strong>Dominik Jurek</strong> </div> </div> <div class="article-summary" id="summary"> <h2>Abstract</h2> <div class="article-abstract"> <p>Academic literature generally views the chairman of the board as a mere additional title for the CEO. I critically review this concept and explore a distinct chairman effect on company performance. For this purpose, I examine policy variable changes and stock market reactions to chairman turnovers for large US companies between 1998 and 2012. I find that chairman-CEOs are more entrenched and preserve their empire until their retirement. The chairman has only limited relevance to large companies, but for small companies, the chairman provides valuable knowledge and guidance.</p><br /> <p><strong>Keywords: </strong>Chairman of the Board; Duality; Entrenchment</p><br /> <p><strong>Australian Academy of Accounting and , volume 6, issue 1, January 2024, pp 1-67</strong></p> </div> </div> </section><!-- .article-main --> <section class="article-more-details"> <h2 class="sr-only">Article Details</h2> <div class="panel panel-default issue"> <div class="panel-heading"> Issue </div> <div class="panel-body"> <a class="title" href="https://journalshosting.com/aabljournals/index.php/aaafr/issue/view/33"> Vol. 6 No. 1 (2024): Australian Academy of Accounting and Finance Review </a> </div> </div> <div class="panel panel-default section"> <div class="panel-heading"> Section </div> <div class="panel-body"> Articles </div> </div> <div class="panel panel-default copyright"> <div class="panel-body"> <a rel="license" href="https://creativecommons.org/licenses/by/4.0/"><img alt="Creative Commons License" src="//i.creativecommons.org/l/by/4.0/88x31.png" /></a><p>This work is licensed under a <a rel="license" href="https://creativecommons.org/licenses/by/4.0/">Creative Commons Attribution 4.0 International License</a>.</p> </div> </div> </section><!-- .article-details --> </div><!-- .col-md-8 --> </div><!-- .row --> </article> </div><!-- .page --> </main> <aside id="sidebar" class="pkp_structure_sidebar left col-xs-12 col-sm-2 col-md-4" role="complementary" aria-label="Sidebar"> <div class="pkp_block block_custom" id="customblock-aaafr-submission-site"> <h2 class="title">AAAFR Submission Site</h2> <div class="content"> <p>Please make a submission by using the "<strong>MAKE A SUBMISSION</strong>" link below. <u>You may not receive any notification of your submission in your email</u>. However, you can view and track the 'accept/reject' status of your submission through this submission system. The system will send you the 'accept/reject' notification in your email anyway. <strong>Please check your spam folder</strong> as the system generated email with 'accept/reject' notification may land in your spam folder. </p> </div> </div> <div class="pkp_block block_make_submission"> <h2 class="pkp_screen_reader"> Make a Submission </h2> <div class="content"> <a class="block_make_submission_link" href="https://journalshosting.com/aabljournals/index.php/aaafr/about/submissions"> Make a Submission </a> </div> </div> <div class="pkp_block block_information"> <h2 class="title">Information</h2> <div class="content"> <ul> <li> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/information/readers"> For Readers </a> </li> <li> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/information/authors"> For Authors </a> </li> <li> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/information/librarians"> For Librarians </a> </li> </ul> </div> </div> <div class="pkp_block block_custom" id="customblock-contact-us"> <h2 class="title">Contact Us</h2> <div class="content"> <p>We have a zero tolerance on junk/spam emails. To avoid any spam email, we don't publicly disclose our email address on this site. Please visit the journal hosting support page at <strong><a href="https://journalshosting.com/main/" target="_blank" rel="noopener">https://journalshosting.com/main/</a></strong> and fill the '<strong>Get in Touch</strong>' form at the end of the page. We will get back to you as soon as possible.</p> </div> </div> </aside><!-- pkp_sidebar.left --> </div><!-- pkp_structure_content --> <footer class="footer" role="contentinfo"> <div class="container"> <div class="row"> <div class="col-md-10"> <p><strong>Australian Academy of Accounting and Finance Review.</strong></p> <p>This website is created and maintained by '<strong>Creative Web', Tampa, FL, USA</strong>. All contents of this website are the intellectual property of '<strong>Creative Web' </strong>and are reserved by that web designer/developer. No content of this website can be further used without a permission. If you have any questions, please don't hesitate to contact us. </p> </div> <div class="col-md-2" role="complementary"> <a href="https://journalshosting.com/aabljournals/index.php/aaafr/about/aboutThisPublishingSystem"> <img class="img-responsive" alt="More information about the publishing system, Platform and Workflow by OJS/PKP." src="https://journalshosting.com/aabljournals/templates/images/ojs_brand.png"> </a> </div> </div> <!-- .row --> </div><!-- .container --> </footer> </div><!-- pkp_structure_page --> <script src="https://journalshosting.com/aabljournals/lib/pkp/lib/vendor/components/jquery/jquery.min.js?v=3.3.0.13" type="text/javascript"></script><script src="https://journalshosting.com/aabljournals/lib/pkp/lib/vendor/components/jqueryui/jquery-ui.min.js?v=3.3.0.13" type="text/javascript"></script><script src="https://journalshosting.com/aabljournals/lib/pkp/js/lib/jquery/plugins/jquery.tag-it.js?v=3.3.0.13" type="text/javascript"></script><script src="https://journalshosting.com/aabljournals/plugins/themes/bootstrap3/bootstrap/js/bootstrap.min.js?v=3.3.0.13" type="text/javascript"></script> </body> </html>