This study examines contingencies written in firms’ material product market contracts, focusing on i) exogenous uncertainty as an ex-ante determinant, and ii) operating efficiency and market beta as ex-post consequences. We extract material contracts from firms’ public regulatory filings and...

Prior research documents that asset growth is negatively associated with future firm performance. In contrast, we show that growth financed by product market stakeholders (i.e., “operating growth”) is positively associated with future firm performance. Investors and security analysts...

We study CEO successions to investigate the factors that lead a firm to select an individual with CFO experience for their CEO and whether appointing a former CFO leads to systematic changes in financial reporting, disclosure, and tax policies relative to other CEO appointments. Consistent with...

We test two potential hypotheses regarding the effects of major customer concentration on firm profitability. Under the collaboration hypothesis, customer power facilitates collaboration and both the supplier firm and its major customers obtain benefits. Under the competition hypothesis,...