TITLE:
The Impact of Directors with Foreign Experience on Executive Compensation: Evidence from Chinese Listed Companies
AUTHORS:
Rui Xiao
KEYWORDS:
Directors, Foreign Experience, Executive Compensation
JOURNAL NAME:
Open Journal of Business and Management,
Vol.5 No.4,
October
17,
2017
ABSTRACT: We study the impact of directors with foreign experience on executive Compensation.
Using a data set from Chinese listed companies, we find out that
executive compensation tends to be higher in companies with directors that
have foreign experience. To evaluate this change in executive compensation,
we further explore the impact of director with oversea background on pay performance
link in these companies, which is an indicator of corporate governance
and compensation management. Result shows that the impact of directors
with foreign experience depends on the equity nature of the company.