Returnee Managers And Corporate Risk-Taking

With the developing of globalization and the deepening of reform and open of China,the number of overseas returnees has kept rising by the recent years.This study is to investigate the positive effects of overseas returnees on the economics from the perspective of enterprise risks.The data of Shanghai and Shenzhen A shares listed companies for 2009-2016 years are selected to analyze the roles of top management teams with overseas background in the promotions of risk taking and performance of companies.Meanwhile,companies with different property rights or belonging to different industries are compared so as to investigate if their impacts would change with different situations.The empirical tests demonstrate that companies with overseas returnee teams tend to take a higher risk,hence,resulting in a positive effect on the enterprise performance.The degree of risk taking varies from property rights.Specifically,the impacts on non-state enterprises are more remarkable,while those on state-owned enterprises are weakened,which indicates that the enterprise environments affect the utilization of returnees.This paper confirms the important role of the overseas returnee teams,which provides a reference for the selection and self-improvement of the management team,the optimal al ocation of human resources,and the improvement of corporate governance,also provides theoretical and data support for the implementation of talent introduction strategy.