CEO Turnover and IPO Performance

 CEO Turnover and IPO Performance

Guanyu Chen1 and Hengfeng Xu2*

1Hangzhou Hump Supply Chain Limited
2Lancaster University Management School

Previous research presents extensive conclusive results regarding the association between firm performance and CEO turnover. However, the issue of CEO turnover is still rarely investigated with regard to the usefulness Initial Public Offerings (IPOs) performance in the topic of Chief Executives Officers (CEOs) turnovers. The principle objective of this study is to investigate whether the likelihood of the CEOs turnover is inversely correlated with the IPO performance of the firm. This study is conducted by employing the U.S. sample data consists of 462 firms including 173 CEO turnover events within 5 years after the IPO offering during the period between 2003 and 2013, and it is mainly concluded that CEO turnover matters with respect to firm IPO performance, however, only for IPO long-term performance, rather than short-term performance.

Keywords:  CEO Turnover, IPO Performance

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How to cite this article:
Guanyu Chen and Hengfeng Xu. CEO Turnover and IPO Performance. Global journal of Economics and Business Administration, 2020, 5:34. DOI:10.28933/gjeba-2020-09-0406

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