Please use this identifier to cite or link to this item:
http://hdl.handle.net/10397/80846
| Title: | Is board of director compensation excessive in restaurant firms? | Authors: | Mun, SG Paek, S Woo, L Park, S |
Issue Date: | Sep-2019 | Source: | International journal of hospitality management, Sept. 2019, v. 82, p. 149-158 | Abstract: | This study confirms that a firm’s size in the previous year significantly increases board of director compensation in the current year, while the number of directors and the firm’s capital expenditure significantly decrease it. On average, 31.2% of restaurant firms overcompensate their board of directors, while 33.8% pay less than the expected amount of compensation to their board of directors. However, contrary to public concern, this study argues that the amounts of over- and under-compensation are negligible in proportion to the directors’ total compensation, and thus the issue of over- and under-compensation may not pose a serious problem in the restaurant industry. In particular, the amount of overcompensation has a positive effect on firm growth and capital investment, but does not substantially decrease firms’ operational and financial performance. The amount of overcompensation can even have a positive influence on financial performance, although the effect is not statistically significant. | Keywords: | Board of director compensation Overcompensation Under-compensation Resource dependence theory Agency theory Restaurant firms |
Publisher: | Pergamon Press | Journal: | International journal of hospitality management | ISSN: | 0278-4319 | EISSN: | 1873-4693 | DOI: | 10.1016/j.ijhm.2019.04.014 | Rights: | © 2019 Elsevier Ltd. All rights reserved. © 2019. This manuscript version is made available under the CC-BY-NC-ND 4.0 license http://creativecommons.org/licenses/by-nc-nd/4.0/. The following publication Mun, S. G., Paek, S., Woo, L., & Park, S. (2019). Is board of director compensation excessive in restaurant firms? International Journal of Hospitality Management, 82, 149-158 is available at https://dx.doi.org/10.1016/j.ijhm.2019.04.014. |
| Appears in Collections: | Journal/Magazine Article |
Files in This Item:
| File | Description | Size | Format | |
|---|---|---|---|---|
| Mun_Compensation_Excessive_Restaurant.pdf | Pre-Published version | 1.28 MB | Adobe PDF | View/Open |
Access
View full-text via PolyU eLinks 
Page views
110
Last Week
0
0
Last month
Citations as of Nov 22, 2023
Downloads
9
Citations as of Nov 22, 2023
SCOPUSTM
Citations
3
Citations as of Dec 1, 2023
WEB OF SCIENCETM
Citations
2
Citations as of Nov 30, 2023
Google ScholarTM
Check
Altmetric
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.