This paper examines whether CEO turnover affects company performance and the optimal time for CEO renewal during a turnaround process. Results, derived from data collected from Italian companies, highlight the necessity of introducing the new CEO before beginning an insolvency procedure. A later appointment can reduce his/her impact, probably due to the difficulty of managing negotiations with the creditors. Moreover, we show a positive and significant relationship between CEO turnover and the likelihood of a bankrupt firm re-emerging from an insolvency procedure. The analysis was based on the traditional logit model and more modern approaches like the random forest and the AdaBoost models, combined with the SHAP technique. Overall, our findings provide valuable insight for all company stakeholders, whose interests are significantly impacted by its default.

Thriving at work is closely related to the way employees are embedded in their social contexts, such as the structure of their communication relations with coworkers. In previous research, communication relations have been found to negatively relate to thriving at work. However, social network theory suggests that communication relations are beneficial in obtaining resources in the workplace, which might increase thriving at work. To reconcile the seemingly conflicting mechanisms, we draw on social network theory to unpack the mechanisms underlying communication relations by considering the instrumental and expressive roles. Using a structural equation model, we investigate the indirect effects of communication networks on thriving at work via advice-seeking networks (instrumental) and friendship networks (expressive). Our findings indicate communication relations are negatively related to thriving at work via advice-seeking relations, but are positively related to thriving at work via friendship relations.

COVID-19 may not only pose threats but also provided opportunities for innovation and growth for many high-tech small- and medium-sized enterprises (SMEs). This study investigates the relationship between entrepreneurial passion (EP), dynamic capability (DC) for innovation and product innovation performance in SMEs during COVID-19. Hierarchical regression and bootstrapping methods were employed per the survey data of 195 Chinese SMEs. The results reveal that EP is an imperative antecedent of DC and product innovation. DC also positively mediates the relationship between SMEs’ product innovation performance and top managers’ EP. In addition, this mediation effect of DC becomes more pronounced when firms are facing more opportunities. These findings advance the existing literature by specifying the process top managers use to cultivate product innovation within SMEs in times of crisis.

We propose that while positive performance feedback is positively related to firm sentiment, negative performance feedback is negatively associated with the firm sentiment. Additionally, overconfident Chief Executive Officers (CEOs) will improve the positive relationship between positive performance feedback and firm sentiment and reduce the negative relationship between negative performance feedback and firm sentiment. Using 7,182 firm-year observations for the 2004−2017 period, we show that positive performance feedback positively affects firm sentiment, and negative performance feedback negatively influences firm sentiment. We also found that higher levels of CEO overconfidence will minimize the negative impact of negative performance feedback on firm sentiment. Our research extends the current discourse on organizational impression management (proxied by firm sentiment) and CEO overconfidence research as we provide a nuanced relationship between firm performance feedback and organizational impression management. Our findings have theoretical and practical implications for corporate governance leaders and shareholders.

Prior crisis management research mainly studied the context of accidental and preventable crises which are generally within the organization's control, while the COVID-19 pandemic presents a public health crisis in which corporations do not have control over the extent of the impacts. Built upon the stakeholder salience framework, we propose and test the hypotheses that are derived from societal stakeholders' power, legitimacy, and urgent claims during the pandemic and reveal several corporate responses that address multiple stakeholders' interests, including customers, shareholders, community, suppliers, and employees. Specifically, corporations with a larger number of employees and social media followers tend to adopt more corporate responses that address various stakeholders' concerns. Further, in highly impacted industries, there is an increased influence of social media followers on customer-related corporate responses as well as a decreased influence of employees on employee-related corporate responses.

In a global society experiencing an increasing shortage of qualified workers and the recognition that individuals with autism spectrum disorder (ASD) can be effective employees, there is an uptick in private sector initiatives to address employment needs through the recruitment of workers with ASD. A case study methodology with consensual qualitative research analysis was used to gain a rich understanding of employment of people with ASD at a medium-sized clothier in collaboration with a service provider for people with ASD. Perceptions of implementation and effectiveness were collected. Results suggest the hiring of people with ASD was positively perceived by employees. Components of this success included changes to the physical work environment, diversity training specific to individuals with disabilities, and a company climate of engaging and supporting employees with ASD. This research suggests that the collaborative initiative may prove a meaningful model for other companies interested in employing people with ASD.

In this study, we explore how early career advancement affects the gender pay gap among top executives and argue that an employee's age at attainment of an executive position serves as a signal that helps reduce biases toward women, thereby lowering gender pay differentials. We analyze career data of 803 executives from public high-technology manufacturing firms in the United States by collecting information from ExecuComp, Marquis Who's Who, LinkedIn, and Bloomberg. Our results indicate that attaining a top management position at a young age has a positive effect on pay, particularly among women, and this effect is due to the variable portion of compensation, which represents a large proportion of compensation among top executives. Further, recent research has identified a pay premium among high-potential female managers, although its key drivers remain unclear. This paper explores age as an observable signal that influences this premium and reduces the gender pay gap.

This paper builds on the creation of new ways of organizing work, where the freelance economy specifically targets the increasing number of skilled self-employed individuals collaborating for shared output. Through describing and discussing creativity within the freelance economy, this paper seeks to understand creativity in collaborations among these self-employed individuals. Drawing from a case study conducted in the advertising sector, the paper concludes that creativity within the freelance economy occurs between equal and inherently creative freelancers rather than being the product of individual traits, despite their respective skills. Creativity between individuals arises when processes are appropriately formalized, while the creative output is constrained by individual decisions and styles. The paper contributes to existing research by shedding light on the distinctive characteristics of the freelance economy and its paradoxical organizational nature. By doing so, it offers insights that contrast with prior studies on artistic creativity.

A hegemonic neoliberal ideology dominates all areas of work in Turkey, including healthcare. Though neoliberalism has been studied extensively from the perspective of meaning, values, and processes, managerial and leadership behavior dynamics require further research. This study analyzes the relationship between managerialism, toxic leadership, and ethical climate in an industry swept up by untamed neoliberalism, particularly in a nation where employment and human rights are ceremoniously protected. Through an analysis of medical doctors working in 207 public and private university hospitals in Turkey, we explored the role of managerialism and four distinct ethical climate types, resulting in the emergence of toxic leadership behaviors during the global pandemic. We theorize the extent to which toxic leaders emerge from managerialism. We further explain why the hegemonic Turkish leadership culture thrives in toxic behaviors such as paternalism, fealty, ingratiation, nepotism, and cronyism in the context of neoliberal expansion.

In the global economy, the international strategies of family firms, influenced by family ownership and management, remain underexplored. Bridging the family business and international business fields, we use the socioemotional wealth lens to examine 1,236 international expansions from 2007 to 2013. Categorizing firms into pure family, nearly pure family, borderline family, and non-family typologies, we assess the influence of internal (experience, knowledge) and external (country risk) factors on their entry modes. Results indicate that higher family involvement in ownership/management increases the preference for greenfield investments over acquisitions or equity alliances, a relationship further moderated by international experience and country risk. This study provides nuanced insights into the international behaviors of family firms.

This study examines the influence of founding conditions and decisions on new companies' performance, analysing how both environmental context and organisational dynamics interact to determine their success. It distinguishes between two different success indicators: survival and profitable growth. An empirical study conducted using a sample of 3,722 new agri-food companies in two different periods, one of economic stability and the other of recession, showed that founding conditions had long-lasting effects on post-entry performance. The economic context acted as a moderator of the relationship between individual factors and success. Adverse environmental conditions were also a determinant of success, making surviving firms more competitive and resilient. The results reflect the survival of the fitter principle by showing that early profitability reduced the risk of failure and made firms more likely to become profitable in the medium term. Internationalisation strategies developed organisational capabilities that created an imprint for adaptability and growth.

Board of directors (BOD) bring valuable human and relational capital to firms but may act as self-interested agents by design. The purpose of this study is to investigate how the compensation of BOD members in high-technology sectors affects overall firm performance. We tested our specific hypotheses using panel regression methodology on data gathered from the CRSP, Compustat, BoardEx, and ExecuComp databases. Our final sample consisted of 9,127 firm years, and the companies in our sample were all high-tech publicly traded U.S. firms from 1992 to 2019. Our results showed that there is an association between BOD’s pay structure and firm performance (accounting-based return on assets and market-based Tobin’s Q). Our findings demonstrate originality and contribute to the literature since we empirically demonstrate that the level of variable BOD pay has a diminishing effect on return on assets and Tobin’s Q. This study advances our knowledge of executive compensation in the high technology sector.

International alliances are important strategic vehicles to build geographic scope and enter foreign markets, especially for firms lacking the resources or facing limitations to direct foreign expansion. Addressing recent calls to study alliance structure, we investigate the design parameters of nonequity international alliances and their performance implications. Building on the resource-based view of the firm, we theorize the effect of three key structural dimensions – formalization, interface, and specialization – on firm effectiveness. Our empirical work focusses on the legal service industry where international interfirm alliances are common, and resources like expert workers and knowledge are essential. We study 121 French, German, Italian, and Spanish law firms; and our data include the structural features of the alliances to which they belong, as well as various measures of firm effectiveness. Our analyses via structural equation modelling point toward the importance of informality and strong interface for effectiveness in these contexts. This study contributes to a finer understanding of international alliances by directly addressing the structural variation among nonequity international alliances, and analyzes their implications for firms. We thus respond to calls to investigate structural dimensions of alliances, operationalizing relevant dimensions of alliance organizational structure. Second, we add to understanding of the performance effects of international alliances, showing the benefits of individual structural parameters for firm effectiveness. Finally, we extend research on the use of international alliances as a strategic vehicle to enter foreign markets, capturing essential aspects of the internal arrangements of these interorganizational collaborative relationships, and thus adding to understanding of this strategic entry mode.