| With the development of information technology,more and more listed companies get attention of public media,with makes corporate transparency increase and the corporate executives get more social attention.CEO is one of the most important decision-makers of an enterprise and plays a major role in the development of the enterprise.The public always pay more attention on CEOs.Therefore,this page will answer the question whether the improvement of CEO's visibility will have an impact on corporate performance.This paper investigates the impact of CEO visibility on the performance of the company and the time effect of this impact.First,we use propensity score matching to match the companies whose CEO gets media award with the "matching companies",followed by a difference-in-differences model.We find that the companies whose CEOs get the media award perform significantly better after winning the year,indicating that the media award which can enhance the CEO's social popularity has an positive impact on the performance.In this paper,we control a variety of potential factors which may influence corporate performance.Furthermore,this paper studies the time effect of CEO visibility on corporate performance.It is found that the performance of the award-winning CEOs' companies are significantly higher in the first year after award year,but there is no significant change in the second year.It shows that the impact of CEO's social reputation promotion is short-term.In the long term to maintain the steady development of business performance,CEOs should focus on their own work to enhance management capacity,and devote more energy into the business management.Depending on the promotion of personal reputation only will not work in improve business performance.Moreover,the paper shows that CEOs achieving media awards only influence the private enterprises the emerging industries' companies and the companies with CEO duality significantly.The main contributions of this paper are as follows: Firstly,the PSM is used to find the matching samples for the CEOs who get the media selection awards,and the difference-in-differences model is used to test the performance of listed companies,which can solve the problem of endogeneity,providing more robust empirical evidence.Second,this paper studies the impact of CEO reputation on corporate performance in mainland China and whether this effect will change over time,which can helps CEO to objectively treat "social popularity " to enhance performance.At the same time,this paper provides indirect evidence for the influence of media award of corporate governance. |
