خلاصة:
The purpose of this study is to integrate the findings of the studies related to the
relationship between CEO compensation and firm performance in Asian countries.
The second concern of the paper is to explore the moderating role of countryspecific
characteristics on the pay-performance relationship in Asian markets. In
order to achieve the study’s objective, meta-analysis technique is utilized through
CMA. Basically, the results are analyzed with both the fixed effect and random
effect models. however, the assumption of the fixed effect model regarding same
true effect size was not fulfilled. Moreover, a higher level of heterogeneity was
detected. Therefore, this study ignores the results denoted by the fixed effect model
and follows the results prescribed by the random effect model. After eliminating
outliers, the findings from 22 studies revealed that CEO compensation in Asian
markets is aligned with firm performance but with the small magnitude.
Furthermore, the results from the method of moments suggested that there is a
positive effect of country’s development and literacy on the pay-performance link,
however, the negative effect of gender inequality and Islamic practices are
evaluated. Conversely, no significant effect of corruption on the pay-performance
relationship is purported in the study. As the authors find the influence of countryspecific
characteristics on the pay-performance relationship in Asian markets, this
study confirms the need for enhancing pay-performance sensitivity in Asian markets
to mitigate potential agency conflicts.
ملخص الجهاز:
"However, prior studies on pay- performance relationship have provided mixed evidences especially in the Asian context (see Cheng & Firth, 2006; Fallatah, 2015; Feng & Johansson, 2017; Gompers & Lerner, 1999; Hall & Liebman, 1998; Hamid, 2016; Jaiswall & Bhattacharyya, 2016; Kato & Long, 2006; Murphy, 2002; Rahman, 2017).
The scholars from Asian countries have rarely published their work in renowned western journals (Leung, 2007), therefore, prior meta- analyses and systematic reviews regarding pay-performance mechanisms have not considered any Asian studies (Devers, Cannella, Reilly, & Yoder, 2007; Tosi, Werner, Katz, & Gomez-Mejia, 2000; Van Essen, Otten, & Carberry, 2015).
Although Asian researchers have contributed in corporate governance, CEO compensation and pay-performance related studies (Cho, Huang, & Padmanabhan, 2014; Minhat & Abdullah, 2014; Peng, Sun, & Markόczy, 2015; Xiao, He, Lin, & Elkins, 2013), but this study is the first attempt to evaluate meta-analysis approach in the Asian perspective.
There are various studies which ensured that women representation on top management or board could positively influence corporate performance (Sabattini, 2007; Christiansen, Lin, Pereira, Topalova, & Turk, 2016; Dezsö & Ross, 2012; Khan & Vieito, 2013; Terjesen, Aguilera, & Lorenz, 2015).
Owing to the strong disclosure policy in developed countries, researchers have examined pay-performance link with different compensation packages in these capital markets (Tricker & Tricker, 2015).
Finding and Discussion Initially, a basic meta-analysis is evaluated to assess the overall effect size on the relationship between firm performance and CEO compensation from 22 studies."