CEO Narcissism And Corporate Strategic Change

The tide of globalization and informatization urge the business strategy chang to meet the demand of the new era.Corporate strategic change refers to the process of reconfiguring enterprise's key activity resources to adapt to the change of external environment.CEO narcissism refers to the CEO's overconfidence in his charisma and ability and ensuring the positive self-image being enhanced.The Upper echelons theory points out that CEO trait is very important to enterprise decision making and strategy implementation.Further,the attention-based view points out that enterprise decision depends on how the decision maker configures and manages its attention,and that the trait of the decision-maker is the important antecedent of attention allocation.The mediating variables:entrepreneurial attention means that the CEO pay attention to entrepreneurial programs,which is different in innovation,risk taking and proactive action dimensions.Using the 156 listed company in 2008-2015 which occured CEO change,we use text analysis and empirical analysis to research how CEO narcissism influence strategic change,the mediation affect of CEO entrepreneurial attention between CEO narcissism and strategic change,the regulation effect of occupational background between CEO narcissism and entrepreneurial attention.Studies and environmental dynamics how to regulate CEO entrepreneur attention and strategic change.Results have shown that the degree of narcissism of CEO is stronger,the entrepreneurial attention of CEO is stronger,what's more,the strategic change of the enterprise is stronger too.And in the relationship,the entrepreneurial attention of CEO plays a part of intermediary role.If CEOs worked in finance,economics,and law sections,the positive relationship between CEO narcissism and CEO entrepreneurial attention will be stronger.When the enterprise is in a high environmental dynamic situation,the positive relationship between CEO entrepreneurial attention and enterprise strategic change is enhanced,and the CEO entrepreneurial attention will be enhanced too.The contributions of this paper are as follows.Firstly,we provide new ideas to understand the enterprise strategic change phenomenon through the effect of CEO narcissism and CEO attention on promoting corporate strategic change.Secondly,we provide a new empiricalevidence to comprehend the relationship of CEO narcissism and strategic change through the mediation role of CEO entrepreneurial attention.Thirdly,we use computer-aided text analysis method to measure CEO's entrepreneurial attention,which provides a new choice for the use of second-hand data to study CEO decision making.This study play a positive role to understand CEO trait,CEO cognition and promote corporate strategic change.