Executive compensation and corporate performance of energy companies around the world

Chaohui Wang, Su Zhang, Subhan Ullah, Raza Ullah, Farid Ullah

This paper studies the relationship between executive compensation and corporate performance of global energy companies. Data from 121 listed energy companies from 2010 to 2019 were collected for empirical analysis. The results show that in the energy industry, executive compensation has a significant positive impact on corporate performance, which is consistent with agency theory, tournament theory and social network theory. In addition, we found that cash incentives are more useful than equity incentives for senior executives. Therefore, we recommend that energy companies establish a reasonable compensation incentive system to address agency issues in the sector.

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Year of publication:	2021
Authors:	Wang, Chaohui ; Zhang, Su ; Ullah, Subhan ; Ullah, Raza ; Ullah, Farid
Published in:	Energy strategy reviews. - Amsterdam [u.a.] : Elsevier, ZDB-ID 2652346-2. - Vol. 38.2021, Art.-No. 100749, p. 1-7
Subject:	Executive compensation \| Corporate performance \| Energy companies \| Firm performance \| Unternehmenserfolg \| Managervergütung \| Führungskräfte \| Managers \| Energiewirtschaft \| Energy sector \| Welt \| World \| Corporate Governance \| Corporate governance

Type of publication:	Article
Type of publication (narrower categories):	Aufsatz in Zeitschrift ; Article in journal
Language:	English
Other identifiers:	10.1016/j.esr.2021.100749 [DOI]
Source:	ECONIS - Online Catalogue of the ZBW

Persistent link: https://www.econbiz.de/10013185654