JOURNAL OF APPLIED BUSINESS AND ECONOMICS
Executive Qualification and Firm Value
Author(s): Sergiy Rakhmayil, Ayse Yuce
Citation: Sergiy Rakhmayil, Ayse Yuce, (2013) "Executive Qualification and Firm Value," Journal of Applied Business and Economics, Vol. 14, Iss. 5, pp. 52-70
Article Type: Research paper
Publisher: North American Business Press
Abstract:
This paper examines the effect of managerial qualifications on firm value. We study financial
performance of Fortune 500 firms using annual data for 2006-2009 using univariate and multivariate
methodologies. Our results indicate that companies whose managers that have MBA degrees or degrees
from the prestigious schools have higher market values. We also find evidence of a U-shaped relationship
between manager age and firm performance.