DefinePK

Abstract

Multiple theoretical lenses have examined how CEO attributes impede general-specific firms' outcomes. This study examines CEO attributes that affect a firm's strategic decisions, like dividend decisions underpinning upper echelons' theory. Using the large firm-year observations of 2,927 listed firms on the Pakistan stock exchange from 2012-2021, the results revealed that CEO ownership, financial expertise, experience, and tenure are positively associated with a firm's dividend decisions. Additionally, family ownership moderates this relationship at various levels, confirming the social identity of family-owned firms. The study's findings are consistent with upper-echelon theory and contribute to the dividend puzzle literature in emerging economy settings.
Keywords: CEO attributes, dividend decisions, family ownership, Upper Echelons Theory.