Study: CEO Performance, Golf Skills Inversely Correlated
"While some golf rounds may clearly serve a valid business purpose, it is unlikely that
the amount of golf played by the most frequent golfers is necessary for a CEO to support her firm," said the study.
What the researchers discovered was that in the years where the CEO played 22 or more rounds of golf, the mean return on assets for their firm was more than 100 basis points lower than those of firms where the CEO didn't play as much.
"This result is economically significant as the sample mean ROA is just over 5.3 percent," said the study.
What the researchers discovered was that in the years where the CEO played 22 or more rounds of golf, the mean return on assets for their firm was more than 100 basis points lower than those of firms where the CEO didn't play as much.
"This result is economically significant as the sample mean ROA is just over 5.3 percent," said the study.