Executive pay and firm performance in the Philippines
College
Ramon V. Del Rosario College of Business
Department/Unit
Economics
Document Type
Article
Source Title
Pacific Basin Finance Journal
Volume
16
Issue
5
First Page
606
Last Page
623
Publication Date
11-1-2008
Abstract
This paper provides the first systematic evidence on the nature of the relation between executive compensation and firm performance in the Philippines. Comparable to studies of Japan, Korea, and China, we find a positive relation between executive compensation and performance in the Philippines for those firms not affiliated to a corporate group, but that this relation does not hold for affiliated firms. We conclude that the substantial portion of the Philippine economy that is under the control of group networks incentivize managers in ways other than through use of pay-performance schemes. © 2007 Elsevier B.V. All rights reserved.
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Digitial Object Identifier (DOI)
10.1016/j.pacfin.2006.12.002
Recommended Citation
Unite, A. A., Sullivan, M. J., Brookman, J., Majadillas, M., & Taningco, A. (2008). Executive pay and firm performance in the Philippines. Pacific Basin Finance Journal, 16 (5), 606-623. https://doi.org/10.1016/j.pacfin.2006.12.002
Disciplines
Benefits and Compensation | Business Administration, Management, and Operations | Economics
Keywords
Executives—Salaries, etc.--Philippines; Corporate governance--Philippines
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