Skip to main content

Table 9 Difference-in-Difference (DID) analysis of performance changes

From: Non-family chair and corporate performance

Panel A: Univariate DID tests

 

Treatment (Family-to-nonfamily)

Control (Family-to-family)

DID (Treat-control)

Full sample of chair transitions

 Difference (after-before)

− 0.013

0.023**

− 0.036**

(− 1.14)

(2.01)

(− 2.23)

[170]

[165]

[335]

First chair transition event

 Difference (after-before)

−0.011

0.026**

− 0.037**

(−0.98)

(2.10)

(−2.20)

[165]

[150]

[315]

Panel B: DID regressions of firm performance during chair transitions

 

(1)

(2)

 

Full sample of chair transitions

First chair transition

Treat*Post

−0.031**

−0.032**

 

(−2.26)

(−2.01)

Treat

0.018

0.019

 

(1.23)

(1.18)

Post

0.022

0.027

 

(1.61)

(1.53)

Intercept

−0.287

−0.338

 

(−1.32)

(−1.50)

Other controls

Yes

Yes

Industry fixed effects

Yes

Yes

Year fixed effects

Yes

Yes

Obs.

335

315

Adjusted R2

0.134

0.132

  1. This table presents the differences in performance changes before and after the chair transitions between non-family-chair firms and family-chair firms. We use a five-year window for analysis – from two years before to two years after the chair transition. Panel A reports the univariate DID results for the full sample or the subsample of first chair turnovers. Numbers in parentheses are t-statistics, and in brackets are the number of observations. Panel B shows the DID regression results with control variables used in the main regression. We use a full sample of chair transitions in column 1 and use only the first chair transition event for each firm in column 2. All regressions include year and industry dummies, but their coefficients are not reported for the sake of brevity. See the Appendix for detailed descriptions of the variables. Asterisks denote statistical significance at the 1% (***), 5% (**) or 10% (*) level, respectively