In this paper we use agency theory to study the active role of the chief executive in the formulation of corporate strategy. Unlike traditional applications of agency theory, we allow the agent (CEO) to play a role in defining the parameters of the agency problem. We argue that CEOs will have an...

Differences in management and shareholders priorities have been recognized and accepted to exist creating problems in the agency to which financial theorists opined that dividend payments is the best means of resolving the conflict. Results obtained using the multiple regression equation model...

We show that prices and incentives recommended by the salesforce literature when targeting a profitable segment can attract unprofitable customers, particularly when salespeople have high productivity and low risk (i.e., risk aversion times uncertainty). Therefore, when customers are...

In the study the effect of market competition on the agency costs was examined in the companies listed in Tehran stock exchange; hence, 56 companies were examined in 2005–2010. The selected approach benefits from Panel Data to test the hypotheses and the natural logarithm of auditing fees and...

This paper examines a combined set of corporate governance features that influence disclosure quality in a context of ownership concentration. Agency theory presents a theoretical framework linking disclosure decision to corporate governance mechanisms. Using a Multiple Correspondence Analysis...

This paper examines the role of board of directors’ control over the determination of French executives’ compensation. The theoretical root of this article is that of the agency theory, a dominant theory in the study of the determinants of executives’ compensation. Starting from the fact...

This article examines the railway concessions in France in the 19th century as examples of a principal – agent relationship between the state and a contractor. I show that one of the main assumptions of the agency theory, the asymmetric information at the benefit of the agent, is not verified....

Purpose – The purpose of this paper is to provide a comparative analysis of the communication of the five major categories of risk (business, strategy, market and credit risk disclosure) over the volatile 2007-2009 global financial crisis (GFC) time period between Indonesia and Malaysia...

Purpose – The purpose of this paper is to explore the role of accounting discretion in a principal-agent setting, wherein accounting information is used in performance evaluation. The agent may choose one from among several allowable accounting methods. However, limited audit resources allow...