Determinants of CEO Pay in Service Industry Firms

This article proposes a model comprising company- and executive-specific variables as determinants of compensation for chief executive officers and reports an empirical testing of the model based on a sample of 170 service industry firms. An empirical test of the model was also conducted for banking...

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Bibliographic Details
Published in:Group & organization management 1992-06, Vol.17 (2), p.210-217
Main Authors: Culpan, Refik, Murti, Vedula N., Culpan, Oya
Format: Article
Language:English
Subjects:
Banking industry
Chief executive officers
Compensation and benefits
Compensation management
Executive compensation
Public utilities
Service industries
Services industry
Statistical analysis
Studies
Variables
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Summary:This article proposes a model comprising company- and executive-specific variables as determinants of compensation for chief executive officers and reports an empirical testing of the model based on a sample of 170 service industry firms. An empirical test of the model was also conducted for banking and utility firms, the two major subgroups of the sample. An attempt was made to identify interindustry variations in the determinants of compensation for chief executive officers through separate investigation into banking and utility firms. Theoretical and practical implications of the research findings are discussed.
ISSN:1059-6011
1552-3993
DOI:10.1177/1059601192172007