Investigating the Relationship between CEO Optimism, CEO Selection, compensation, and Corporate Investment Decisions

Subject Areas : General Management

Parvin  Sadri ¹ (Accounting Department, faculty of management and accounting, Islamic Azad University of Saveh, Iran)
shima  parysay ² (Accounting Department, faculty of management and accounting, Islamic Azad University of Saveh, Iran)

Received: 2023-02-07 Accepted : 2023-03-19 Published : 2024-07-03

Keywords: CEO optimism, CEO selection, compensation, corporate investment decisions,

Abstract :

This study aims at investigating the relationship between CEO optimism, CEO selection, compensation, and corporate investment decisions. The study focused on companies listed on the Tehran Stock Exchange between 2015 and 2021. The present research falls into the category of applied research. If we classify research types based on nature and methodology, the current research method falls into the descriptive research category and, in terms of methodology, is considered a correlational study. For data collection, a library research method was employed. Data were collected from financial statements, explanatory notes, and the stock exchange monthly magazine for the sample companies. Using a systematic elimination method, 126 companies were selected as the statistical sample. Descriptive and inferential statistics were used for data description and summarization. To analyze the data, preliminary tests such as variance heterogeneity tests, Levene’s, Hausman, and Jarque–Bera tests were conducted. Subsequently, a multivariate regression test was used to confirm or reject the research hypotheses (using E-Views software). The obtained results indicated that CEO optimism significantly influences CEO selection, bounces, and corporate investment decisions.

References:

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