Finally, consistent with previous evidence (see, e.g., Weisbach
, 1995), we find that besides engaging in better acquisitions, new CEOs create significant shareholder gains by systematically reversing prior poorly performing investments through asset disposals and the termination of nonperforming operations.
, Ohio State University and NBER, "Selecting Directors Using Machine Learning" (NBER Working Paper No.
Stephens and Weisbach
(1998) stated that the main motive behind adopting open market purchase of shares is to repurchase small volume of shares and to distribute the surplus cash to shareholders as an alternative of paying dividend.
The pioneers of anthropological studies on Albanians are Weisbach
(1877) and Gluck (1897).
Hermalin and Weisbach
(2003) cast doubt on the association, suggesting that insiders and outsiders are equally likely to provide good or bad supervision.
Such research may exploit exogenous changes in contract law that affect the feasibility of termination--as opposed to arm's-length contracting--as a fallback option, such as termination laws in franchising (e.g., Brickley, Dark, & Weisbach
Not content to become stagnant, founders Dean Rohan, Jonathan Weisbach
, Damien Goudreau, and Nathan Lanier have opened a 9,000-square-foot space across the street, where they're making fruited wild beers, barrel-aged stouts, and canned versions of their cult-favorite IPAs.
(167) Examples of sweat equity often involve sole proprietors such as grocers or dry cleaners, but as David Weisbach
points out, Bill Gates is an owner of sweat equity: his fortune is attributable to services he performed for Microsoft, but most of his earnings will be taxed as capital gains.
Most previous studies examining the association between the quality of corporate governance mechanisms and CEO turnover decisions have focused only on publicly traded stock companies (e.g., Weisbach
, 1988; Denis, Denis, and Sarin, 1997; Borokhovich, Parrino, and Trapani, 1996).
This article offers an organizational theory, which is based on Weisbach
and Nussim, (12) as a theoretical framework for the implementation of instruments.
(1988) investigating the relationship between management change and divestitures of acquired departments also find that management turnover results in reversal of poor performance.
Inside directors, who are typically executives of the firm, can facilitate effective decision making because they are a valuable source of firm-specific information about constraints and opportunities (see, for example, Raheja , Harris and Raviv , and Adams, Hermalin, and Weisbach