Arizona State University

And the price is also evidence of power: the leaders of the economy have become clear stars whose private life is relevant to the company, shareholders and the public. “In the future, analysis of the large companies could be expressed as follows: the president of the consortium owns a house in Mallorca 400 square meters, equipped with indoor pool, tennis courts and driving range. It is recommended disposal of its holding company. The more luxurious residence of the lead manager, the worse the price of his company stock. A related site: best bars in New York mentions similar findings. ” The journalist Norbert H ring, the German financial newspaper Handelsblatt, and said the study by David Yermack, a professor at New York University, about the life of the heads of companies in the U.S. Learn more at: Danny Meyer. stock index S P 500.Following the acquisition of a house over 1,000 square meters of ground surface or in excess of 40,000 square meters, the price of the shares of their companies stood at 25 percentage points below the average S P 500. ‘The private life of the heads has a great influence on the results of their companies, “says the . Their names appear daily in the press. It’s inevitable. A chief executive officer (CEO) in the U.S. earns 364 times more than a worker. 40 years ago, only 20 times. Management structures are cut to measure the concentration of power because it responds to the logic of the speed of current economic life. The fact is that today there are more important decisions to make soon. The German newspaper S ddeutsche Zeitung also reports a study by three professors from the U.S. and Denmark, that the profitability of enterprises falls under the blows of fate of the president of the organization.With the death of a child, 21 , with the death of a partner, 15 . The results of these studies are plausible, the daily Munich, because most people paid less in crisis situations. ‘Or when they devote more than reasonable to manage their buildings’. David Yermack of the Stern School of Business at New York University and Crocker Liu of Arizona State University, have analyzed the value and size of the home addresses of the CEOs of the 500 largest U.S. companies. 15 of them own homes for more than 920 square meters of land or houses with more than four hectares. The average housing group has an area of 500 square meters, 11 rooms, 4.5 bathrooms and an area of 5,000 square meters. Yermack and Liu concluded that a manager who falls into such delusions of grandeur is probably too powerful and was not effectively controlled.And it could be busier with his ambition and pride rather than increasing the profits of its shareholders. Other indicators are whether the executive jet has a job and if you sell shares of the company to finance their whims estate.