會議論文摘要：
This study examines the effect of delegation of control rights on the role of financial accounting information in top executive replacement decisions. Based on the theory on decentralization of the firm as summarized in Christie et al., (2003), we hypothesize that, in top executive replacement decisions, 1) delegation of control rights by ultimate controlling owners heightens their reliance on financial performance indicators; and 2) presence of related party transactions increases the externality of accounting information which, in turn, weakens this reliance. We find our results are consistent with both these hypotheses after taking advantage of data available from the Chinese stock market, where concern for endogeneity is minimized by a given set of organizational structure that is predetermined by IPO rules.. These findings are robust to alternative empirical specifications and they extend the literature on the relationship between organizational structure and decision ......
