| M & A has become an unstoppable trend in the world.With the increasing frequency of M & A activities,the phenomenon of excessive M & A premiums has become commonplace.Generally speaking,the CEO of a company,as the main body of negotiation with the target party on behalf of the company,has played a decisive role in the decision of M & A premium.In addition to being affected by the goal of maximizing corporate value,it will also be disturbed by its own psychological factors.Unfair psychology brought about by salary comparison may be an important part of CEO psychology,and then become an important factor affecting the M & A premium.Therefore,this article has an important theoretical value and practical guiding significance to study the impact of CEO external salary unfairness on M & A premium decisions from a psychological perspective.This article takes the Shanghai and Shenzhen A-share listed companies as the research sample,uses the panel data of the sample companies from 2007 to 2018,and selects M & A data with CEO pay lower than the median CEO pay of the same industry in the same year,that is,mergers and acquisitions with CEO pay in an unfair situation Transaction data.By using a combination of literature research method and empirical research method,the effect of CEO salary unfairness on M & A premium was studied.Considering that in enterprises with different property rights,due to the different salary setting mechanism and career prospects,there may be some differences in the impact of CEO compensation unfairness on the M & A premium.influences.In addition,because individual characteristics respond differently to unfairness,this paper examines the responses of CEOs with different background characteristics to fairness from the perspective of age and personality characteristics,and the responses of different characteristics of CEOs to fairness in enterprises with different property rights to test Its impact on the M & A premium.The basic conclusions obtained by empirical research in this paper are:(1)Unfair CEO external compensation will have a significantly negative impact on M & A premiums.(2)Compared with state-owned enterprises,the unfair CEO salary of non-state-owned enterprises will cause enterprises to pay higher M & A premiums.(3)Compared with older CEOs,unfair CEO salary unfairness will lead to higher M & A premiums.In addition,the unfair salary of non-state-owned companies' young CEOs has a more significant negative impact on the M & A premium.(4)OverconfidentCEO pay unfairness causes companies to pay higher M & A premiums.In addition,the overconfident CEOs of non-state-owned enterprises have a more significant negative impact on the M & A premium. |
PDF Full Text Request