Pay Gap among CEOs in Family Enterprises and Non-family Enterprises : The Fitenss of Tournament Theory

• Main Authors: SHU TING SUN, 孫淑婷
• Other Authors: 李佳玲
• Format: Others
• Language: zh-TW
• Published: 2005
• Online Access: http://ndltd.ncl.edu.tw/handle/82336728683148826142

碩士 === 國立中正大學 === 會計與資訊科技研究所 === 93 === This thesis aims at discussing on CEO compensation GAP in family enterprises on the basis of tournament theory. Tournament theory asserts to decide compensations of employees based on rank-ordered in organizations. The higher the employee’s rank-order is, the greater the pay gap is. Nevertheless, whether the tournament theory fitted to family enterprises in Taiwan is worth to being studies. The samples of this study, totally 1,110, consist of the listed and OTC companies in Taiwan Stock Exchange during 1999 and 2003. It is found that the higher ownership the same family has, the less practical Tournament Theory is for CEOs’ compensations. Only when family enterprises employ professional managers as CEOs and invest more R&D expenses can Tournament Theory explain Pay Gap among CEOs.