C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in Nigeria
Most people exaggerate their own skills and accomplishments, which can have disastrous results. The C-suite has a tremendous impact on business choices, as decisions made in the workplace can be skewed by unconscious prejudice, and this bias can have negative consequences. Therefore, this study expl...
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Format: | Article |
Language: | English |
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Faculty of Management & Finance, University of Colombo
2022-12-01
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Series: | Colombo Business Journal |
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Online Access: | https://mgmt.cmb.ac.lk/cbj/wp-content/uploads/2022/12/2.-CBJ-2022-ACT-2-Formatted-Final-C-Suite-Bias.pdf |
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author | Temitope Olamide Fagbemi |
author_facet | Temitope Olamide Fagbemi |
author_sort | Temitope Olamide Fagbemi |
collection | DOAJ |
description | Most people exaggerate their own skills and accomplishments, which can have disastrous results. The C-suite has a tremendous impact on business choices, as decisions made in the workplace can be skewed by unconscious prejudice, and this bias can have negative consequences. Therefore, this study explores C-suite bias, firm characteristics, and capital structure decisions of quoted industrial goods firms in Nigeria. Data from 2002 to 2020 was used in an ex-post-facto research design while pooled OLS was used for analyses. The study found that C-suite tenure had a favourable influence on capital structure, suggesting that the duration during which C-suite executives govern their firms’ affairs has a beneficial effect on the capital structure decisions. Therefore, the study advances that corporations should enable C-suite members to serve for a longer period of time; because the longer they remain at the helm of the company’s affairs, the better their capital structure decisions. |
first_indexed | 2024-04-11T02:02:00Z |
format | Article |
id | doaj.art-8646194b483e43dbbba6bfe78933fcb1 |
institution | Directory Open Access Journal |
issn | 1800-363X 2579-2210 |
language | English |
last_indexed | 2024-04-11T02:02:00Z |
publishDate | 2022-12-01 |
publisher | Faculty of Management & Finance, University of Colombo |
record_format | Article |
series | Colombo Business Journal |
spelling | doaj.art-8646194b483e43dbbba6bfe78933fcb12023-01-03T03:56:16ZengFaculty of Management & Finance, University of ColomboColombo Business Journal1800-363X2579-22102022-12-01132214710.4038/cbj.v13i2.123C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in NigeriaTemitope Olamide Fagbemi0https://orcid.org/0000-0002-5755-902XAberdeen Business School, Robert Gordon University, ScotlandMost people exaggerate their own skills and accomplishments, which can have disastrous results. The C-suite has a tremendous impact on business choices, as decisions made in the workplace can be skewed by unconscious prejudice, and this bias can have negative consequences. Therefore, this study explores C-suite bias, firm characteristics, and capital structure decisions of quoted industrial goods firms in Nigeria. Data from 2002 to 2020 was used in an ex-post-facto research design while pooled OLS was used for analyses. The study found that C-suite tenure had a favourable influence on capital structure, suggesting that the duration during which C-suite executives govern their firms’ affairs has a beneficial effect on the capital structure decisions. Therefore, the study advances that corporations should enable C-suite members to serve for a longer period of time; because the longer they remain at the helm of the company’s affairs, the better their capital structure decisions.https://mgmt.cmb.ac.lk/cbj/wp-content/uploads/2022/12/2.-CBJ-2022-ACT-2-Formatted-Final-C-Suite-Bias.pdfc-suitesbehavioural accountingcapital structurebiasesoverconfidence |
spellingShingle | Temitope Olamide Fagbemi C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in Nigeria Colombo Business Journal c-suites behavioural accounting capital structure biases overconfidence |
title | C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in Nigeria |
title_full | C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in Nigeria |
title_fullStr | C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in Nigeria |
title_full_unstemmed | C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in Nigeria |
title_short | C-Suite Bias, Firm Characteristics, and Capital Structure Decisions of Quoted Industrial Firms in Nigeria |
title_sort | c suite bias firm characteristics and capital structure decisions of quoted industrial firms in nigeria |
topic | c-suites behavioural accounting capital structure biases overconfidence |
url | https://mgmt.cmb.ac.lk/cbj/wp-content/uploads/2022/12/2.-CBJ-2022-ACT-2-Formatted-Final-C-Suite-Bias.pdf |
work_keys_str_mv | AT temitopeolamidefagbemi csuitebiasfirmcharacteristicsandcapitalstructuredecisionsofquotedindustrialfirmsinnigeria |