Does a CEO's cultural heritage affect performance under competitive pressure?

Duc Duy Nguyen, Jens Hagendorff, Arman Eshraghi

Research output: Contribution to journalArticlepeer-review

23 Citations (Scopus)


We exploit variation in cultural heritage across CEOs who are the children or grandchildren of immigrants to demonstrate that the cultural origins of CEOs matter for corporate outcomes. Following shocks to industry competition, firms led by CEOs who are second- or third-generation immigrants are associated with a 6.2% higher profitability than the average firm. This effect weakens over successive immigrant generations and cannot be detected for top executives other than the CEO. Additional analysis attributes this effect to various cultural values that prevail in a CEO’s ancestral country of origin.
Original languageEnglish
Pages (from-to)97-141
Number of pages45
JournalReview of Financial Studies
Issue number1
Early online date19 May 2017
Publication statusPublished - 1 Jan 2018


  • CEOs
  • Cultural values
  • Corporate investments
  • Performance
  • Competition


Dive into the research topics of 'Does a CEO's cultural heritage affect performance under competitive pressure?'. Together they form a unique fingerprint.

Cite this