Top Management Team Stability and Corporate Innovation Sustainability

Author:

Tan Zukun1

Affiliation:

1. Business School, Beijing Normal University, Beijing 100875, China

Abstract

In recent years, there has been growing recognition that the stability of the top management team (TMT) significantly impacts the operation and management of companies. However, few studies have focused on the impact of TMT stability on innovation sustainability. Therefore, based on the upper echelon theory and the faultline theory, this paper takes China’s A-share listed companies from 2010 to 2022 as a sample to explore the impact of TMT stability on corporate innovation sustainability, as well as the moderating effect of executive faultlines on this impact. The results indicate that TMT stability is positively correlated with corporate innovation sustainability, whereas the executive faultlines significantly weaken this correlation. The mechanism test reveals that a stable senior management team can reduce an enterprise’s operational risk through the management functions of executives, alleviate the financing constraints serving as a stability signal sent by the company to investors and creditors, and thus promote the sustainability of innovation. Heterogeneity analysis demonstrates that the influence of TMT stability on corporate innovation sustainability is more pronounced in companies with a high percentage of executive shareholdings, non-state ownership, and CEOs possessing technical expertise. This paper combines the overall stability of the executive team with the differentiation of its internal subgroups, broadens the research perspective of the upper echelon theory, and serves as a valuable reference for the development of corporate executive teams.

Publisher

MDPI AG

同舟云学术

1.学者识别学者识别

2.学术分析学术分析

3.人才评估人才评估

"同舟云学术"是以全球学者为主线,采集、加工和组织学术论文而形成的新型学术文献查询和分析系统,可以对全球学者进行文献检索和人才价值评估。用户可以通过关注某些学科领域的顶尖人物而持续追踪该领域的学科进展和研究前沿。经过近期的数据扩容,当前同舟云学术共收录了国内外主流学术期刊6万余种,收集的期刊论文及会议论文总量共计约1.5亿篇,并以每天添加12000余篇中外论文的速度递增。我们也可以为用户提供个性化、定制化的学者数据。欢迎来电咨询!咨询电话:010-8811{复制后删除}0370

www.globalauthorid.com

TOP

Copyright © 2019-2024 北京同舟云网络信息技术有限公司
京公网安备11010802033243号  京ICP备18003416号-3