The Current state of literature
The study is going to study the relationship between the Chief Executive Officer incentives and the performance of the company. Hamadi in 2011 investigated on, how the CEO incentives are calculated, and the effect the incentives have on the firm’s performance. He carried out the analysis using data from 231 public companies which are listed in the stock exchange. His aim was to find out if the incentives given to the CEO have any effect on the firm performance and the shareholders wealth. The shareholders wealth is the dividends the shareholders are entitled to at the end ...
