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Athletes in boardrooms: Evidence from the world

Author

Listed:
  • Yizhe Dong
  • Tinghua Duan

    (LEM - Lille économie management - UMR 9221 - UA - Université d'Artois - UCL - Université catholique de Lille - Université de Lille - CNRS - Centre National de la Recherche Scientifique)

  • Wenxuan Hou
  • Yue (lucy) Liu

Abstract

This study examines the relation between the athletic experience of board directors and corporate outcomes. We predict that athletes' attributes, such as physical fitness, mental resilience, leadership, and team-working skills, enhance their monitoring role. Using a large sample from 71 countries, we find that athletic experience is associated with better firm performance. The benefits are more pronounced when the experience is of team sports and confrontational sports, and for firms experiencing financial crisis. The results remain consistent when we instrument the athletic experience of directors with the number of Olympic medals won and Olympic sports participated in by the country in question at the previous Olympic Games.

Suggested Citation

  • Yizhe Dong & Tinghua Duan & Wenxuan Hou & Yue (lucy) Liu, 2019. "Athletes in boardrooms: Evidence from the world," Post-Print hal-02115617, HAL.
    • Handle: RePEc:hal:journl:hal-02115617
    DOI: 10.1016/j.intfin.2018.12.009
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    More about this item

    Keywords

    Athlete; Corporate board; Director; Firm performance; Sports;
    All these keywords.

    JEL classification:

    • G15 - Financial Economics - - General Financial Markets - - - International Financial Markets
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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