Hiring an Outsider CEO: Change is Not Always Good
Do firms really benefit when they hire an outsider as the CEO? Professor Nandini Rajagopalan presents her research findings. More than one-third of Fortune 1000 companies are run by CEOs recruited from outside the firm. Outsider CEOs are often hired based on reasons such as “the firm needs a fresh start” or that the firm needs someone to “shake things up.” …
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