Board structure and CEO compensation: Evidence from U.S. lodging industry

Using a sample of U.S. lodging firms, this paper examines the relationship between board of director characteristics and chief executive officer (CEO) compensation. Previous research shows that larger boards are detrimental to the effectiveness of the board of directors and deteriorate the control imposed on CEO actions and pay. Board independence is also suggested as an important quality to emphasize the control on the CEO. We propose that U.S. lodging firms’ board of directors provide a nice setting to investigate the effects of size and independence on CEO compensation level. Our findings suggest that CEO compensation is not related to board size, and positively related to proportion of the outside board members. These findings are contrary to the findings of previous studies. Our findings may provide significant insights to lodging firms’ board of directors to structure efficient compensation packages.     

Gay tourism in a sun and beach destination

Gay tourism is seen as an attractive business opportunity for many destinations. However, there is a lack of research at identifying the resources necessary for success in this type of tourism. This work is aimed at filling this gap by using the premises of the resource based view and transfers them to the analysis of territories to identify the valuable resources that are required for a sun and beach destination to attract gay tourists. To this end, this study has focused on a gay tourism sub niche, tourists lodged in gay-exclusive resorts in Gran Canaria. In order to confirm the validity of this approach, the relationship between the satisfaction of gay tourists and the condition of the valuable resources was studied by means of a robust statistical new method, namely Bayesian model averaging. That method permits the inclusion of uncertainty in the theoretical models that determine destination competitiveness, thus reducing many of the problems that arise in the application of the more conventional statistical methods in this type of analysis.     

基于委托代理模型的销售人员报酬激励机制分析

以委托代理理论为基础,建立了销售人员激励的委托代理模型,通过推导,得出销售人员努力程度可以观测和不可观测下的最优激励合同,分析了销售人员激励程度的影响因素,具体探讨了企业外部环境不确定性、企业的销售管理水平和品牌影响力、销售人员的经验、能力和风险规避程度等因素对销售人员报酬激励机制设计的影响.     

“货币补偿”总是最优策略吗?——高星级酒店不同服务失误归因下的情境研究

酒店服务的异质性和顾客需求的多样性使得服务失误在所难免。服务补救成为酒店修复服务失误,赢得顾客口碑和再次光顾的重要举措。在酒店管理实践中,货币补偿颇受管理者青睐,通常被作为应对服务失误的首要选择。然而,货币补偿是否为服务失误发生时的最优选择?文章以高星级酒店为研究背景,对服务失误进行情境设计,检验不同失误归因下货币补偿和非货币补偿的补偿满意度差异。数据分析结果显示:酒店因素导致的服务失误情境下,相比货币补偿而言,非货币补偿具有更好的补偿效果;其他顾客因素和顾客自身因素导致的服务失误情境下,货币补偿与非货币补偿间没有显著效果差异。此外,补偿满意度对顾客信任、重购意向与口碑有显著正向影响。     

Is more better? The relationship between meeting space capacity and hotel operating performance

This study examines the effect of meeting space capacity on hotel operating performance. We use Resource-Based View (RBV) of the firm as the theoretical foundation. We employ a national-level dataset with more than 20,000 hotels in the United States for the 2007–2012 period. We find that meeting space has a non-linear effect on hotel operating performance. That is, at low levels of meeting space, meeting space capacity is negatively related to hotel operating performance. At high levels of meeting space, meeting space capacity has a positive influence on operating performance. These findings provide insights for hotel owners, developers and practitioners in planning hotel meeting space capacity.     

The influence of lead indicator strength on the use of nonfinancial measures in performance management: Evidence from CEO compensation schemes

Nonfinancial measures (NFMs) are a common feature of strategic performance management frameworks. We examine the role of one widely used NFM: customer satisfaction, in one aspect of strategic performance management: CEO compensation schemes. Drawing on agency theory precepts, we hypothesize that the extent to which firms link CEO compensation to customer satisfaction is influenced by satisfaction's ability to act as a leading indicator of future profitability (lead indicator strength). We further hypothesize that the extent to which customer satisfaction's lead indicator strength influences the weighting of satisfaction in CEO compensation schemes has a positive influence on future shareholder value. Our empirical results offer strong support for both hypotheses and extend research on the use and efficacy of NFMs in CEO compensation schemes. Copyright © 2013 John Wiley & Sons, Ltd.     

Upper‐echelon executive human capital and compensation: Generalist vs specialist skills

This study extends current knowledge of upper echelon executive compensation beyond the CEO, specifically CFO compensation, based on whether they possess generalist or specialist skills. We find that “strategic” CFOs with an elite MBA (generalist) consistently command a compensation premium, while “accounting” CFOs (specialist) and CFOs with a non‐MBA master's degree, even from an elite institution, do not. Further, scarce “strategic” CFOs are awarded both higher salaries and higher equity‐based compensation. Our findings support the view that unique complementarities between scarce CFOs and firms increase these executives' bargaining power leading to pay premium. Our results are robust to post‐hiring years, firm sizes, board characteristics, and CFO's insider/outsider status. We contribute at the confluence of upper‐echelon compensation, executive human capital, resource‐based view, and assortative matching literatures. Copyright © 2014 John Wiley & Sons, Ltd.     

Innovation forecast: Un-avoidable and context dependent

In order to mobilize the necessary resources for innovation forecasts are unavoidable. However, a forecast is never a neutral or objective assessment. Given an interdependent business landscape, there are at least two major context-related aspects that affect an innovation forecast. First, the actor that makes the forecast is embedded into a specific context. Secondly, the potential innovation stems from a specific environment, and will during the innovation journey be related to other environments in a producing and a using setting, and thus to other investments in place. In this paper we examine the development of one innovation and the forecasts made by three different economic actors. There is an interesting variation in the forecasts that can be explained as a variation of contexts of the actors. The contexts influence the way that the forecasts are done and especially in terms of what the context of the innovation is assumed to be. The empirical findings suggest that the results of the innovation forecast are highly dependent on the actors' abstraction of the business landscape which in turn is affected by the contexts of the actors.     

CEO compensation in EU telecom companies: Does the state design the right incentives?

This paper analyzes the structure of CEO pay in European fixed telecommunication companies, focusing on the impact of state ownership. Results show that, under the (partial or total) control of the state, the level of CEO compensation is lower and pay-performance sensitivity is higher than in privately-controlled firms. This finding suggests the state provides an incentive as well as a monitoring effect. However, when the state holds the majority of the shares, the pay level is significantly affected by the CEO power, suggesting that in these firms, CEOs are more likely to be entrenched with boards and succeed in raising their pay.     

A stage-dependent model of resource utilization,strategic flexibility,and implications for performance over time: Empirical evidence from a transitional environment

It has long been recognized that there is a tradeoff between exploration and exploitation. How organizations utilize resources across time and space will affect firm survival and growth. In this paper, we examine resource utilization and performance implications over time in an environment undergoing fundamental institutional transformation. Based on a large archive of Chinese government data from 1988, 1992, and 1996, the study finds that (1) the impact of resource utilization is contingent on the degree to which different resources are committed to factors of production, (2) the impact is curvilinear and only valid within an “optimal” range, and (3) the performance implications change over time. As firms enter later stages of the transitional process, efficiency becomes less important as they shift their strategic focus from exploitation to exploration, which requires more flexibility. These findings have significant bearing on the issue of upgrading technological competitiveness in China as the country becomes increasingly integrated in the global economy. Such insights may also have implications for other emerging economies in Asia.