{"id":{"repo_id":"mit","oai_identifier":"oai:dspace.mit.edu:1721.1/117918"},"canonical_url":"https://search.dev.ndltd.org/etd/mit/oai:dspace.mit.edu:1721.1/117918","repository":{"repo_id":"mit","name":"MIT","base_url":"https://dspace.mit.edu/oai/request"},"display":{"title":"Understanding high-powered incentives in organizations","abstract":"I study how the compensation structure of top managers from US public companies changes in recent years and the effect of these incentives on firm performance. I first explore the trend of executive compensation structure and performance metrics used in executive compensation over the years. I also examine systematic differences across industries and different firm sizes. Then I analyze the relationship between compensation structure and firm performance. My results suggest that a higher level of incentive-based compensation correlates with higher growth in total shareholder return; particularly for small firms, a higher level of incentive-based compensation correlates with significantly higher total asset growth, sales growth and employment growth as well. To explore whether the level of incentive-based compensation has influence on firm performance, I use propensity score matching to reduce selection bias. My results suggest that the level of incentive-based compensation has no significant influence on firm performance.","abstract_html":"I study how the compensation structure of top managers from US public companies changes in recent years and the effect of these incentives on firm performance. I first explore the trend of executive compensation structure and performance metrics used in executive compensation over the years. I also examine systematic differences across industries and different firm sizes. Then I analyze the relationship between compensation structure and firm performance. My results suggest that a higher level of incentive-based compensation correlates with higher growth in total shareholder return; particularly for small firms, a higher level of incentive-based compensation correlates with significantly higher total asset growth, sales growth and employment growth as well. To explore whether the level of incentive-based compensation has influence on firm performance, I use propensity score matching to reduce selection bias. My results suggest that the level of incentive-based compensation has no significant influence on firm performance.","abstract_has_math":false,"creators":["Zheng, Shuo, S.M. Sloan School of management"],"institution":"Massachusetts Institute of Technology","degree_name":null,"degree_level":null,"degree_discipline":null,"degree_department":"Sloan School of Management.","school":null,"contributors":[],"advisors":["Egor Matveyev."],"committee_chairs":[],"committee_members":[],"year":2018,"date_issued":"2018","date_published":"2018","updated_at":"2026-07-22T22:21:51Z","subjects":["Sloan School of Management."],"languages":["eng"],"rights":["MIT theses are protected by copyright. They may be viewed, downloaded, or printed from this source but further reproduction or distribution in any format is prohibited without written permission."],"rights_urls":["http://dspace.mit.edu/handle/1721.1/7582"],"identifier_entries":[]},"links":{"outbound_url":"http://hdl.handle.net/1721.1/117918","outbound_label":"Handle","outbound_source":"dc:identifier.uri"},"metadata_groups":[{"id":"people","label":"People","entries":[{"key":"dc:contributor.advisor","label":"Advisor","values":["Egor Matveyev."]},{"key":"dc:contributor.department","label":"Department","values":["Sloan School of Management."]},{"key":"dc:contributor.other","label":"Dc Contributor Other","values":["Sloan School of Management."]},{"key":"dc:creator","label":"Author","values":["Zheng, Shuo, S.M. 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They may be viewed, downloaded, or printed from this source but further reproduction or distribution in any format is prohibited without written permission."]},{"key":"dc:rights.uri","label":"Rights URI","values":["http://dspace.mit.edu/handle/1721.1/7582"]}]},{"id":"identifiers","label":"Identifiers","entries":[{"key":"dc:identifier.uri","label":"Identifier URI","values":["http://hdl.handle.net/1721.1/117918"]}]},{"id":"additional","label":"Additional Metadata","entries":[{"key":"dc:description","label":"Description","values":["Thesis: S.M. in Management Studies, Massachusetts Institute of Technology, Sloan School of Management, 2018.","Cataloged from PDF version of thesis.","Includes bibliographical references (page 33)."]},{"key":"dc:description.abstract","label":"Abstract","values":["I study how the compensation structure of top managers from US public companies changes in recent years and the effect of these incentives on firm performance. I first explore the trend of executive compensation structure and performance metrics used in executive compensation over the years. I also examine systematic differences across industries and different firm sizes. Then I analyze the relationship between compensation structure and firm performance. My results suggest that a higher level of incentive-based compensation correlates with higher growth in total shareholder return; particularly for small firms, a higher level of incentive-based compensation correlates with significantly higher total asset growth, sales growth and employment growth as well. To explore whether the level of incentive-based compensation has influence on firm performance, I use propensity score matching to reduce selection bias. My results suggest that the level of incentive-based compensation has no significant influence on firm performance."]},{"key":"dc:description.degree","label":"Dc Description Degree","values":["S.M. in Management Studies"]},{"key":"dc:title","label":"Title","values":["Understanding high-powered incentives in organizations"]}]}],"canonical_facts":{"dc:contributor.advisor":["Egor Matveyev."],"dc:contributor.department":["Sloan School of Management."],"dc:contributor.other":["Sloan School of Management."],"dc:creator":["Zheng, Shuo, S.M. Sloan School of management"],"dc:date.accessioned":["2018-09-17T15:49:56Z"],"dc:date.available":["2018-09-17T15:49:56Z"],"dc:date.issued":["2018"],"dc:description":["Thesis: S.M. in Management Studies, Massachusetts Institute of Technology, Sloan School of Management, 2018.","Cataloged from PDF version of thesis.","Includes bibliographical references (page 33)."],"dc:description.abstract":["I study how the compensation structure of top managers from US public companies changes in recent years and the effect of these incentives on firm performance. I first explore the trend of executive compensation structure and performance metrics used in executive compensation over the years. I also examine systematic differences across industries and different firm sizes. Then I analyze the relationship between compensation structure and firm performance. My results suggest that a higher level of incentive-based compensation correlates with higher growth in total shareholder return; particularly for small firms, a higher level of incentive-based compensation correlates with significantly higher total asset growth, sales growth and employment growth as well. To explore whether the level of incentive-based compensation has influence on firm performance, I use propensity score matching to reduce selection bias. My results suggest that the level of incentive-based compensation has no significant influence on firm performance."],"dc:description.degree":["S.M. in Management Studies"],"dc:identifier.uri":["http://hdl.handle.net/1721.1/117918"],"dc:language.iso":["eng"],"dc:publisher":["Massachusetts Institute of Technology"],"dc:rights":["MIT theses are protected by copyright. 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