Navigating CEO Characteristics, Strategic Choices, and Firm Success

Dellaportas, S., Kanapathippillai, S., Puwanenthiren, P. and Dissanayake, T. 2025. Navigating CEO Characteristics, Strategic Choices, and Firm Success. Accounting & Finance. Advanced online publication. https://doi.org/10.1111/acfi.70115

TitleNavigating CEO Characteristics, Strategic Choices, and Firm Success
TypeJournal article
AuthorsDellaportas, S., Kanapathippillai, S., Puwanenthiren, P. and Dissanayake, T.
Abstract

This study explores the relationship between the CEOs’ demographic characteristics (age, tenure, and professional qualification) and business strategy (prospector vs defender) development. Using evidence from a sample of 4,826 Australian firm-year observations, the findings suggest that CEO age and tenure are negatively associated with the prospector business strategy, while CEO education is positively associated with the prospector business strategy. Further analysis suggests that CEO age negatively impacts firm performance. The results are robust based on firm-fixed effects, propensity score matching, and lagged CEO demographic characteristics. Policymakers in Australia could consider introducing CEO Mandatory Retirement Policies (MRPs).

KeywordsCEO characteristics
Business strategy
Firm performance
Australian market
JournalAccounting & Finance
ISSN0810-5391
Year2025
PublisherWiley
Accepted author manuscript
File Access Level
Open (open metadata and files)
Publisher's version
File Access Level
Open (open metadata and files)
Digital Object Identifier (DOI)https://doi.org/10.1111/acfi.70115
Publication dates
Published online08 Oct 2025

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