Social Exchange and the Effects of Employee Stock Options

Datos Bibliográficos

ID3560547
AutoresPeter Cappelli (0000-0002-9627-4027, Bentley University, autor de correspondencia), Martin Conyon, Martin J Conyon (0000-0003-1008-1863, Bentley University), David Almeda (Peter Cappelli is the George W. Taylor Professor of Management at the Wharton School of Business, University of Pennsylvania. Martin Conyon is a Trustee Professor at Bentley University. David Almeda is Vice-President and Chief Human Resource Officer at Kronos Incorporated), David Charles Almeda (Bentley University)
Año2020
Volumen73
Número1
Páginas124-152
Fecha de publicación2020-01-01
Open AccessSí
TipoARTICLE
RevistaIndustrial and Labor Relations Review (JOURNAL)
Identificadores de la revistaISSN: 0019-7939 • E-ISSN: 2162-271X
EditorialSAGE Publications Inc (PUBLISHER)
DOI10.1177/0019793919827934
OpenAlexW2914159385
IdiomaEN
Citas recibidas1
Referencias citadas71

The authors assert that broad-based stock options create a social exchange relationship between the employer and employees, leading to higher individual job performance in the next period. They compare this social exchange hypothesis to the more typical incentive-based explanation for stock options, which is that holding options generates financial incentives for better individual job performance in the current period. Findings show that significant and meaningful relationships are associated with social exchange effects and that these are both independent of incentive effects and arguably greater than those for the incentive effects. The authors use non-parametric and parametric fixed effects models, other controls for sample heterogeneity, and alternative specifications to address possible concerns about identification and endogeneity. These results extend empirical studies of social exchange relationships to common workplace practices. They also raise the possibility that some of the performance effects attributed to incentives in other studies may actually be attributable to social exchange effects

Business · Econometrics · Economics · Empirical evidence · Empirical research · Endogeneity · Incentive · Microeconomics · Public economics · Sample (material) · Social exchange theory · Stock (firearms) · Stock exchange · Corporate Finance and Governance · Experimental Behavioral Economics Studies · Finance · Psychology · Social Capital and Networks · Social Psychology