Does executives’ overseas experience improve firms’ labor investment efficiency?

IF 1.9 Q2 BUSINESS, FINANCE

China Journal of Accounting Research Pub Date : 2023-11-14 DOI:10.1016/j.cjar.2023.100332

Wenfei Li , Manlin Rong , Jing Wu

{"title":"Does executives’ overseas experience improve firms’ labor investment efficiency?","authors":"Wenfei Li , Manlin Rong , Jing Wu","doi":"10.1016/j.cjar.2023.100332","DOIUrl":null,"url":null,"abstract":"<div><p>Based on upper echelons theory and using a sample of private Chinese A-share listed firms from 2008 to 2020, this paper studies the impact of executives’ overseas experience on firms’ labor investment efficiency. The results show that executives with overseas experience significantly enhance firms’ labor investment efficiency. After distinguishing between different types of overseas experience, the results show that executives with only study experience or with both study and work experience abroad have a significant positive effect on firms’ labor investment efficiency, while executives with only overseas work experience have no significant effect. A cross-sectional analysis based on labor adjustment costs shows that the positive impact of executives’ overseas experience is more pronounced in labor-intensive firms, firms with a greater proportion of R&D investment and firms with a higher percentage of highly educated employees. The mechanism tests show that executives with overseas experience can optimize labor investment efficiency by lowering agency costs, attracting analyst attention and alleviating financing constraints under conditions of underemployment. This study enriches the literature on the characteristics of executive teams and the efficiency of labor investment, providing reference and inspiration for firms to attract more high-quality returnees and optimize their labor resource allocation.</p></div>","PeriodicalId":45688,"journal":{"name":"China Journal of Accounting Research","volume":"16 4","pages":"Article 100332"},"PeriodicalIF":1.9000,"publicationDate":"2023-11-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1755309123000424/pdfft?md5=2722d5f71115e98424f1c86774d5636d&pid=1-s2.0-S1755309123000424-main.pdf","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"China Journal of Accounting Research","FirstCategoryId":"1085","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S1755309123000424","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q2","JCRName":"BUSINESS, FINANCE","Score":null,"Total":0}

引用次数: 0

Abstract

Based on upper echelons theory and using a sample of private Chinese A-share listed firms from 2008 to 2020, this paper studies the impact of executives’ overseas experience on firms’ labor investment efficiency. The results show that executives with overseas experience significantly enhance firms’ labor investment efficiency. After distinguishing between different types of overseas experience, the results show that executives with only study experience or with both study and work experience abroad have a significant positive effect on firms’ labor investment efficiency, while executives with only overseas work experience have no significant effect. A cross-sectional analysis based on labor adjustment costs shows that the positive impact of executives’ overseas experience is more pronounced in labor-intensive firms, firms with a greater proportion of R&D investment and firms with a higher percentage of highly educated employees. The mechanism tests show that executives with overseas experience can optimize labor investment efficiency by lowering agency costs, attracting analyst attention and alleviating financing constraints under conditions of underemployment. This study enriches the literature on the characteristics of executive teams and the efficiency of labor investment, providing reference and inspiration for firms to attract more high-quality returnees and optimize their labor resource allocation.

查看原文本刊更多论文

高管的海外经历是否提高了企业的劳动投资效率?

本文基于上层梯队理论，以2008 - 2020年中国a股民营上市公司为样本，研究高管海外经历对企业劳动投资效率的影响。结果表明，具有海外经验的高管显著提高了企业的劳动投资效率。在对不同类型的海外经历进行区分后，结果表明，只有留学经历或既有留学经历又有工作经历的高管对企业的劳动力投资效率有显著的正向影响，而只有海外工作经历的高管对企业的劳动力投资效率没有显著影响。基于劳动力调整成本的横截面分析表明，在劳动密集型企业、研发投入比例较高的企业和高学历员工比例较高的企业，高管海外经历的积极影响更为明显。机制检验表明，在就业不足的情况下，具有海外经验的高管可以通过降低代理成本、吸引分析师关注和缓解融资约束来优化劳动力投资效率。本研究丰富了关于高管团队特征和劳动力投入效率的文献，为企业吸引更多高素质海归、优化劳动力资源配置提供参考和启示。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

求助全文

约1分钟内获得全文求助全文

来源期刊

China Journal of Accounting Research BUSINESS, FINANCE-

CiteScore

4.70

自引率

0.00%

发文量

295

审稿时长

15 weeks

期刊介绍： The focus of the China Journal of Accounting Research is to publish theoretical and empirical research papers that use contemporary research methodologies to investigate issues about accounting, corporate finance, auditing and corporate governance in the Greater China region, countries related to the Belt and Road Initiative, and other emerging and developed markets. The Journal encourages the applications of economic and sociological theories to analyze and explain accounting issues within the legal and institutional framework, and to explore accounting issues under different capital markets accurately and succinctly. The published research articles of the Journal will enable scholars to extract relevant issues about accounting, corporate finance, auditing and corporate governance related to the capital markets and institutional environment.