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Recent Journal Publications by COB Faculty

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Academic Journal
Finance

“Can Institutional Change Impact High-Technology Firm Growth: Evidence from Germany's Neuer Markt”

To facilitate the transformation of the German economy from the traditional manufacturing industries towards emerging new technologies, a new segment of the Frankfurt exchange was introduced in 1997 — the Neuer Markt. To examine whether the Neuer Markt was successful, we compare the relationship between firm size and growth for firms listed on the Neuer Markt and contrast the results with two benchmarks: (1) for German firms prior to the 1990s (to reflect the older traditional manufacturing sector) and (2) for the stylized results for the US. This study provides evidence that not only did many new firms obtain funding from the Neuer Markt; but that for the first time in recent history, Germany succeeded in enabling smaller firms to grow faster than larger firms. This suggests that the new policies were not only successful in promoting a new type of firm that otherwise might not exist, but in transforming the sources of growth and innovation within the German economy.
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Academic Journal
BIS

“Can Intermediary-based Science Standards Crosswalking Work? Some Evidence from Mining the Standard Alignment Tool (SAT)”

We explore the feasibility of intermediary-based crosswalking and alignment of K-12 science education standards. With increasing availability of K-12 science, technology, engineering and mathematics (STEM) digital library content, alignment of that content with educational standards is a significant and continuous challenge. Whereas direct, one-to-one alignment of standards is preferable but currently unsustainable in its resource demands, less resource-intensive intermediary-based alignment offers an interesting alternative. But will it work? We present the results from an experiment in which the machine-based Standard Alignment Tool (SAT) —incorporated in the National Science Digital Library (NSDL)— was used to collect over half a million direct alignments between standards from different standard-authoring bodies. These were then used to compute intermediary-based alignments derived from the well-known AAAS Project 2061 Benchmarks and NSES standards. Results show strong variation among authoring bodies in their success to crosswalk with best results for those who modeled their standards on the intermediaries. Results furthermore show a strong inverse relationship between recall and precision when both intermediates where involved in the crosswalking.
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Academic Journal
Strategy & Entrepreneurship

“Celebrity CEO, Identity Threat, and Impression Management: Impact of Celebrity Status on Corporate Social Responsibility”

In this study, we examine the impact of CEO celebrity status on the propensity of firms to
engage in corporate social responsibility (CSR). Integrating identity and impression management
theories, we argue that a firm’s engagement in CSR activities is affected by a celebrity CEO’s
impression management motive to maintain his/her identity and status as a celebrity. We then
explore three boundary conditions under which the effects of celebrity status on CSR may be
strengthened. We find that celebrity CEOs’ engagement in CSR activities as an impression
management tactic increases when uncertainty surrounding a firm’s expected performance is
high, when firm performance is low, and the competitive intensity of the industry is high. The
findings of this study provide useful insights into the specific ways by which celebrity CEOs
attempt to protect their established status and reputation. This paper contributes to various
domains of research concerning CEOs, impression management, and CSR.
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Academic Journal
Strategy & Entrepreneurship

“CEO Pay Inequity, CEO-TMT Pay Gap, and Acquisition Premiums”

This study extends previous research on the influence of CEO pay inequity on CEOs' decision-making by examining the relationship in the acquisition context. Focusing on CEOs' compensation vis-à-vis external and internal referents, we find that underpaid CEOs pay higher acquisition premiums and that overpaid CEOs pay lower premiums, although this tendency is reduced as the level of overpayment increases, creating a U-shaped relationship. We further find that the CEO-TMT pay gap moderates the relationship between CEO under-/overpayment and acquisition premiums by adjusting CEOs' perceptions of pay inequity and motivation to restore inequity through their higher or lower sense of self-importance. The findings of this study suggest that CEOs' decision-making is strongly influenced by their framing of gains and losses and the perception of pay inequity
vis-à-vis external and internal referents.
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