Affiliation:
1. Business School Huaqiao University Quanzhou China
2. School of Economics Jinan University Guangzhou China
3. School of Management Jinan University Guangzhou China
Abstract
AbstractThis study takes Chinese A‐share listed firms from 2007 to 2020 as samples to examine the impact of top management team (TMT) stability on corporate default risk. The research findings reveal that TMT stability significantly mitigates corporate default risk. Furthermore, industry competition significantly strengthens the inhibitory effect of TMT stability on corporate default risk, while strategic deviance notably weakens this inhibitory effect. Heterogeneity analysis results indicate that the inhibitory effect of TMT stability on default risk is more pronounced for non‐state‐owned enterprises, firms situated in regions with higher levels of social trust, and during periods of elevated economic policy uncertainty.
Subject
Management of Technology and Innovation,Management Science and Operations Research,Strategy and Management,Business and International Management