Narcissistic CEOs and their earnings management

Maria Kontesa; Rayenda Brahmana; Ashley Hui Hui Tong

doi:10.1007/s10997-020-09506-0

Narcissistic CEOs and their earnings management

Maria Kontesa, Rayenda Brahmana, Ashley Hui Hui Tong

Research output: Contribution to journal › Article › peer-review

9 Citations (Scopus)

Abstract

This study investigates the role narcissism in corporate leadership has on the earnings management for a sample of 514 listed companies in Bursa Malaysia between year 2009 and 2015. Using the unobtrusive method and robust panel regression, we find that the narcissistic CEO has positive association with the earnings management. It means that a narcissistic CEO has a tendency to manage corporate earnings to fulfil their ego, which brings a new perspective to agency theory. For shareholders, the number of CEO photographs in the annual report may be an early warning sign of self-centric earnings management.

Original language	English
Pages (from-to)	223-249
Number of pages	27
Journal	Journal of Management and Governance
Volume	25
Issue number	1
Early online date	7 Mar 2020
DOIs	https://doi.org/10.1007/s10997-020-09506-0
Publication status	Published - Mar 2021
Externally published	Yes

Funder

Funding was provided by Universiti Malaysia Sarawak (Grant No. F01/SpMYRA/1680/2018).

Keywords

Earnings management
Malaysia
Narcissism
Narcissistic CEO

ASJC Scopus subject areas

Business and International Management

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10.1007/s10997-020-09506-0

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Narcissistic CEOs and their earnings management

Abstract

Funder

Keywords

ASJC Scopus subject areas

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