We develop a theory wherein the pay of non-CEO executives can be explained by micro-level opportunity structures--the intersection of functional position, CEO background, human capital, and firm strategic resource allocation decisions. Our theory suggests a positive association between pay and a position made visible by resource allocation decisions, a functional background similar to that of the CEO, and a position that helps the firm manage strategic resource allocations. A unique longitudinal data set that combines survey and archival data on the four highest echelons of senior executives in large U.S. firms provided support for this multilevel framework.
No takes yet. Share an insight, caveat, or question.
Carpenter et al. (2002) studied this question.
Synapse has enriched 3 closely related papers on similar clinical questions. Consider them for comparative context: