This paper investigates venture capitalists' monitoring of managerial behaviour by examining their impact on CEO pay-performance sensitivity across various controlling structures in Chinese firms. We find that the effectiveness of venture capitalists' monitoring depends on different types of agency conflict. In particular, we find that venture capital (VC) monitoring is hampered in firms that e...

We discuss and examine empirically a firm-level equivalent of the ancient problem of ‘tying the King’s hands’, namely how to avoid managerial intervention that is undertaken to reap private benefits but is harmful to overall value creation, that is, ‘managerial opportunism’. The link from managerial intervention to firm-level value-creation is moderated by employee motivation. Thus, interventio...

Purpose – The purpose of this paper is to propose a framework to examine the relationship between contextual factors, management accounting system (MAS) and managerial performance within the health care industry. In particular, it aims to uncover the contextual factors influencing the design of MAS that would enhance managerial performance in Egyptian hospitals. Design/methodology/approach – Th...

We propose a novel approach to evaluating the empirical importance of individual managerial characteristics: We analyze different managerial positions (CEO and CFO) jointly and ask whether a managerial bias (overconfidence) matters for decisions under the control of the manager, but not for decisions outside the manager’s core duties. Using a new data set on CEO and CFO overconfidence, we show ...